[Interim Results Overview](index=1&type=section&id=Summary) The Group reported significant revenue growth for H1 2025, but net profit attributable to shareholders substantially decreased due to prior period's non-recurring investment income, with no interim dividend recommended. Key Financial Data for H1 2025 | Metric | H1 2025 (RMB) | H1 2024 (RMB) | Year-on-year Change | | :--- | :--- | :--- | :--- | | Revenue | 797,520,300 | 604,627,900 | ↑ 31.90% | | Net Profit Attributable to Company Shareholders | 12,163,700 | 170,134,900 | ↓ 92.85% | | Earnings Per Share | 0.0152 | 0.2132 | ↓ 92.86% | - The Board recommends **no interim dividend** for the six months ended June 30, 2025[6](index=6&type=chunk) [Unaudited Consolidated Income Statement](index=2&type=section&id=Unaudited%20Consolidated%20Income%20Statement) For the six months ended June 30, 2025, the Group's total operating revenue increased by 31.90% to RMB 798 million, but operating profit and net profit significantly declined due to substantial investment income in the prior period. Key Data from Consolidated Income Statement | Metric | H1 2025 (RMB) | H1 2024 (RMB) | Year-on-year Change | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 797,520,309.74 | 604,627,930.88 | ↑ 31.90% | | Operating Profit | 4,780,695.87 | 165,774,690.70 | ↓ 97.12% | | Total Profit | 12,035,094.29 | 168,956,114.25 | ↓ 92.87% | | Net Profit | 11,961,246.60 | 169,351,108.77 | ↓ 92.94% | | Net Profit Attributable to Company Shareholders | 12,163,676.06 | 170,134,914.07 | ↓ 92.85% | | Basic Earnings Per Share | 0.0152 | 0.2132 | ↓ 92.86% | - Investment income significantly decreased from **RMB 282,091,477.58** in H1 2024 to **RMB (96,433.34)** in H1 2025, primarily causing the substantial decline in total profit and net profit[7](index=7&type=chunk) [Unaudited Consolidated Balance Sheet](index=3&type=section&id=Unaudited%20Consolidated%20Balance%20Sheet) As of June 30, 2025, the Group's total assets were RMB 2.33 billion, a slight decrease from year-end 2024, with net current assets turning negative, indicating increased short-term liquidity pressure. Key Data from Consolidated Balance Sheet | Metric | June 30, 2025 (RMB) | December 31, 2024 (RMB) | Change Rate | | :--- | :--- | :--- | :--- | | Total Assets | 2,326,666,376.46 | 2,420,182,877.14 | ↓ 3.86% | | Total Liabilities | 1,822,515,973.81 | 1,928,288,812.05 | ↓ 5.49% | | Total Shareholders' Equity | 504,150,402.65 | 491,894,065.09 | ↑ 2.49% | | Total Current Assets | 1,666,724,088.44 | 1,935,407,894.38 | ↓ 13.88% | | Total Current Liabilities | 1,811,208,948.93 | 1,916,905,267.36 | ↓ 5.41% | | Net Current Assets | (144,484,860.49) | 18,502,627.02 | Changed from positive to negative | - Cash and cash equivalents increased by approximately **76.48%** from **RMB 86,788,890.12** at year-end 2024 to **RMB 153,155,876.51** as of June 30, 2025[8](index=8&type=chunk) - Other receivables significantly decreased by approximately **45.11%** from **RMB 1,177,001,129.72** at year-end 2024 to **RMB 646,067,597.02** as of June 30, 2025[8](index=8&type=chunk) [Unaudited Consolidated Statement of Changes in Equity](index=5&type=section&id=Unaudited%20Consolidated%20Statement%20of%20Changes%20in%20Equity) For the six months ended June 30, 2025, total equity attributable to parent company shareholders increased to RMB 505 million, primarily influenced by the total comprehensive income for the period. Key Data from Statement of Changes in Equity | Metric | June 30, 2025 (RMB) | January 1, 2024 (RMB) | | :--- | :--- | :--- | | Total Equity Attributable to Parent Company Shareholders | 504,502,010.47 | 491,894,065.09 | | Retained Earnings | (1,457,415,218.66) | (1,469,578,894.72) | | Non-controlling Interests | (351,607.82) | (375,432.98) | - Total comprehensive income attributable to company shareholders for H1 2025 was **RMB 12,232,512.40**, a significant decrease from **RMB 170,033,113.14** in H1 2024[7](index=7&type=chunk) [Notes to the Unaudited Financial Statements](index=7&type=section&id=Notes%20to%20the%20Unaudited%20Financial%20Statements) This section details the basis of financial statement preparation, key accounting policies, revenue and expense breakdowns, major balance sheet item changes, segment information, contingent liabilities, and capital commitments. [1. General Information](index=7&type=section&id=1.%20General%20Information) The Company is a limited liability company incorporated in China, listed on the HKEX and SZSE, primarily engaged in the design, R&D, manufacturing, sales, and export of energy equipment products. - The Company's shares are listed on the Main Board of the Stock Exchange of Hong Kong and the Main Board of the Shenzhen Stock Exchange in mainland China[12](index=12&type=chunk) - The Group is primarily engaged in the design, R&D, processing, manufacturing, sales services, and export trade of energy equipment products[13](index=13&type=chunk) - Main products include petroleum drilling and extraction machinery, oil and gas transportation equipment, oil and gas exploitation equipment, and castings and forgings[13](index=13&type=chunk) [2. Basis of Preparation of Financial Statements](index=7&type=section&id=2.%20Basis%20of%20Preparation%20of%20Financial%20Statements) The Group's financial statements are prepared in accordance with Chinese Accounting Standards, CSRC disclosure rules, and HK Company Ordinance and Listing Rules, with no changes in accounting policies for the current period. - Financial statements are prepared in accordance with "Enterprise Accounting Standards", CSRC "Information Disclosure Rules for Companies Issuing Securities No. 15", and the Hong Kong "Companies Ordinance" and "Listing Rules"[14](index=14&type=chunk) - There were **no changes** in the accounting policies adopted for the preparation of these financial statements during the period[15](index=15&type=chunk) [3. Total Operating Revenue](index=7&type=section&id=3.%20Total%20Operating%20Revenue) For the six months ended June 30, 2025, the Group's total operating revenue was RMB 797.52 million, a 31.90% increase year-on-year, with pipe products being the largest contributor and primary growth driver. Operating Revenue by Product Category | Product Category | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Pipe Products | 755,173,945.20 | 542,742,258.39 | | Castings and Forgings | - | 5,724,946.04 | | Three-Pump Equipment | 13,830,858.84 | 14,317,014.33 | | Petroleum Machinery Parts | 12,976.43 | 1,061,486.64 | | Others | 28,502,529.27 | 40,782,225.48 | | Total | 797,520,309.74 | 604,627,930.88 | - In H1 2025, pipe products accounted for **94.7%** of total operating revenue, serving as the primary source of income[17](index=17&type=chunk) [4. Segment Information](index=8&type=section&id=4.%20Segment%20Information) The Group's operations are divided into four reportable segments: pipe products, three-pump equipment, petroleum machinery parts, and others, with pipe products contributing most revenue and operating profit in H1 2025, and domestic market revenue exceeding overseas markets. [4.1 Basis for Determining Reportable Segments and Accounting Policies](index=8&type=section&id=4.1%20Basis%20for%20Determining%20Reportable%20Segments%20and%20Accounting%20Policies) The Group's operating segments are defined as pipe products, three-pump equipment, petroleum machinery parts, and others, with segment reporting information consistent with financial statement accounting and measurement bases. - The Group's operating activities are divided into four reportable segments: pipe products, three-pump equipment, petroleum machinery parts, and others[18](index=18&type=chunk) - Segment reporting information is disclosed based on the accounting policies and measurement standards used for reporting to management, consistent with the accounting and measurement bases used for preparing the financial statements[19](index=19&type=chunk) [4.2 Segment Reporting Information – For the Six Months Ended June 30, 2025](index=8&type=section&id=4.2%20Segment%20Reporting%20Information%20%E2%80%93%20For%20the%20Six%20Months%20Ended%20June%2030%2C%202025) H1 2025 Segment Operating Revenue and Profit | Segment | Operating Revenue (RMB) | Operating Profit (RMB) | | :--- | :--- | :--- | | Pipe Products | 755,173,945.20 | 66,137,657.81 | | Three-Pump Equipment | 13,830,858.84 | 1,564,042.12 | | Petroleum Machinery Parts | 12,976.43 | 8,759.49 | | Others | 28,502,529.27 | 1,398,204.92 | | Total | 797,520,309.74 | 72,097,715.14 | [4.3 Segment Reporting Information – For the Six Months Ended June 30, 2024](index=9&type=section&id=4.3%20Segment%20Reporting%20Information%20%E2%80%93%20For%20the%20Six%20Months%20Ended%20June%2030%2C%202024) H1 2024 Segment Operating Revenue and Profit | Segment | Operating Revenue (RMB) | Operating Profit (RMB) | | :--- | :--- | :--- | | Pipe Products | 542,742,258.39 | (4,645,965.03) | | Castings and Forgings | 5,724,946.04 | (467,629.28) | | Three-Pump Equipment | 14,317,014.33 | 2,000,936.18 | | Petroleum Machinery Parts | 1,061,486.64 | 381,704.12 | | Others | 40,782,225.48 | (85,769.83) | | Total | 604,627,930.88 | (3,557,993.16) | [4.4 External Transaction Revenue by Source Location](index=9&type=section&id=4.4%20External%20Transaction%20Revenue%20by%20Source%20Location) External Transaction Revenue by Source Location | Source Location | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Domestic | 540,724,609.12 | 372,373,974.21 | | Other Countries | 256,795,700.62 | 232,253,956.67 | | Total | 797,520,309.74 | 604,627,930.88 | - All of the Group's assets are sourced from China[22](index=22&type=chunk) [5. Finance Costs](index=10&type=section&id=5.%20Finance%20Costs) For the six months ended June 30, 2025, finance costs increased to RMB 43.06 million year-on-year, primarily driven by interest expenses, with a positive exchange difference. Details of Finance Costs | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Interest Expense | 45,322,629.95 | 46,674,510.32 | | Less: Interest Income | (799,536.45) | (568,696.72) | | Exchange Difference | (1,650,660.89) | (4,960,535.36) | | Others | 191,378.13 | 175,362.55 | | Total | 43,063,810.74 | 41,320,640.79 | [6. Credit Impairment Losses](index=10&type=section&id=6.%20Credit%20Impairment%20Losses) For the six months ended June 30, 2025, the Group recorded credit impairment losses of RMB 2.99 million, compared to a gain in the prior period, mainly due to increased bad debt losses on accounts receivable. Details of Credit Impairment Losses | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Bad Debt Losses | 2,989,050.80 | (741,269.32) | | Of which: Accounts Receivable | 2,678,442.15 | 656,707.39 | | Notes Receivable | 70,143.82 | 652,545.51 | | Other Receivables | 240,464.83 | (2,050,522.22) | [7. Asset Impairment Losses](index=10&type=section&id=7.%20Asset%20Impairment%20Losses) For the six months ended June 30, 2025, the Group recorded asset impairment losses of RMB 0.12 million, compared to an asset impairment gain in the prior period, primarily due to inventory write-downs. Details of Asset Impairment Losses | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Inventory Write-down Losses and Contract Performance Cost Impairment Losses | 116,035.70 | (8,955,173.29) | | Total | 116,035.70 | (8,955,173.29) | [8. Gains on Disposal of Assets](index=10&type=section&id=8.%20Gains%20on%20Disposal%20of%20Assets) For the six months ended June 30, 2025, the Group's gains on disposal of assets significantly increased to RMB 4.11 million year-on-year, primarily from the disposal of fixed assets. Details of Gains on Disposal of Assets | Source | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Gains on Disposal of Fixed Assets | 4,114,238.28 | 163,084.71 | | Total | 4,114,238.28 | 163,084.71 | [9. Other Income](index=11&type=section&id=9.%20Other%20Income) For the six months ended June 30, 2025, the Group's other income significantly decreased to RMB 1.37 million year-on-year, mainly due to a reduction in VAT additional deduction. Details of Other Income | Source | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | VAT Additional Deduction | 1,361,627.77 | 6,448,846.81 | | Others | 7,048.36 | 106,235.78 | | Total | 1,368,676.13 | 6,555,082.59 | [10. Non-operating Income](index=11&type=section&id=10.%20Non-operating%20Income) For the six months ended June 30, 2025, the Group's non-operating income significantly increased to RMB 8.41 million year-on-year, primarily attributable to litigation compensation. Details of Non-operating Income | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Litigation Compensation | 7,486,346.36 | - | | Others | 925,006.93 | 3,592,336.79 | | Total | 8,411,353.29 | 3,592,336.79 | [11. Total Profit](index=11&type=section&id=11.%20Total%20Profit) This section lists key expense items affecting total profit, including employee costs, intangible asset amortization, inventory costs, fixed asset depreciation, and R&D costs, comparing H1 2025 and H1 2024 data. Key Expense Items Affecting Total Profit | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Employee Costs | 60,462,868.03 | 75,260,101.72 | | Intangible Asset Amortization | 3,125,808.42 | 5,189,174.26 | | Cost of Inventories Recognized as Expense | 693,580,969.61 | 548,882,498.25 | | Depreciation of Fixed Assets | 28,178,102.30 | 72,915,950.48 | | Research and Development Costs | 10,221,955.21 | 10,750,438.75 | [12. Income Tax Expense](index=12&type=section&id=12.%20Income%20Tax%20Expense) For the six months ended June 30, 2025, the Group's income tax expense was RMB 0.07 million, compared to an income tax benefit in the prior period, with the Company applying a 15% Chinese income tax rate as a high-tech enterprise. Details of Income Tax Expense | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Current Income Tax Expense | 73,847.69 | 62,936.72 | | Deferred Income Tax Expense | - | (457,931.24) | | Total | 73,847.69 | (394,994.52) | - The Company is classified as a high-tech enterprise and is subject to a Chinese enterprise income tax rate of **15%**[30](index=30&type=chunk) - Subsidiaries incorporated in Hong Kong are subject to Hong Kong profits tax at a rate of **16.5%**[31](index=31&type=chunk) [13. Earnings Per Share](index=12&type=section&id=13.%20Earnings%20Per%20Share) For the six months ended June 30, 2025, basic earnings per share significantly decreased to RMB 0.0152 from RMB 0.2132 in the prior period. Earnings Per Share Data | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Profit Attributable to Parent Company Shareholders | 12,163,676.06 | 170,134,914.07 | | Basic Earnings Per Share | 0.0152 | 0.2132 | | Diluted Earnings Per Share | Not applicable | Not applicable | [14. Dividends](index=12&type=section&id=14.%20Dividends) The Board recommends no interim dividend for the six months ended June 30, 2025, consistent with the prior period. - The Board recommends **no interim dividend** for the six months ended June 30, 2025 (2024: nil)[33](index=33&type=chunk) [15. Accounts Receivable](index=13&type=section&id=15.%20Accounts%20Receivable) As of June 30, 2025, net accounts receivable increased to RMB 318 million from year-end 2024, with most receivables aged within one year. Net Accounts Receivable and Aging Analysis | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Gross Accounts Receivable | 361,729,290.97 | 266,677,142.16 | | Less: Provision for Bad Debts | 43,672,284.58 | 46,350,726.73 | | Total (Net) | 318,057,006.39 | 220,326,415.43 | | Aging within 1 year | 321,081,364.46 | 221,427,518.61 | - Domestic general pipe customers typically pay before shipment, while domestic oil casing customers usually pay **3–6 months** after invoicing and settlement; export business primarily involves cash payments, with most oil casing customers paying in advance[34](index=34&type=chunk) [16. Accounts Payable](index=13&type=section&id=16.%20Accounts%20Payable) As of June 30, 2025, total accounts payable slightly increased to RMB 304 million from year-end 2024, with most payables aged within one year. Accounts Payable Aging Analysis | Aging | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Within 1 year | 249,026,100.98 | 228,402,199.71 | | 1–2 years | 12,206,802.68 | 20,662,282.33 | | 2–3 years | 11,187,530.51 | 11,163,851.48 | | Over 3 years | 31,709,927.34 | 33,979,545.16 | | Total | 304,130,361.51 | 294,207,878.68 | [17. Capital Commitments](index=14&type=section&id=17.%20Capital%20Commitments) As of June 30, 2025, the Group had no contracted but unrecognised commitments for the acquisition or construction of long-term assets in its financial statements. - As of June 30, 2025, the Group had **no contracted but unrecognised commitments** for the acquisition or construction of long-term assets in its financial statements[37](index=37&type=chunk) [18. Contingent Liabilities](index=14&type=section&id=18.%20Contingent%20Liabilities) The Company has accrued a provision of RMB 4.96 million for litigation matters, with the case currently under trial. - The Company has accrued a provision for litigation matters of **RMB 4,960,700**[38](index=38&type=chunk) - The litigation case is currently **under trial**[38](index=38&type=chunk) [Business and Financial Review and Outlook](index=15&type=section&id=Business%20and%20Financial%20Review%20and%20Outlook) This chapter reviews the Group's H1 2025 operating performance and business model, analyzes factors affecting profit changes, discusses industry trends, policy support, and future outlook, and discloses other significant matters. [Interim Results](index=15&type=section&id=Interim%20Results) The Group's H1 2025 operating revenue increased by 31.90% year-on-year, but net profit attributable to listed company shareholders significantly decreased due to non-recurring investment income from subsidiary equity disposal in the prior period, with operating performance turning profitable after excluding non-recurring items. - H1 2025 operating revenue was approximately **RMB 797.52 million**, an increase of **31.90%** compared to the same period last year[39](index=39&type=chunk) - Net profit attributable to listed company shareholders was approximately **RMB 12.16 million**, a significant decrease from **RMB 170.13 million** in the same period last year[39](index=39&type=chunk) - The decrease in net profit was primarily due to the impact of **non-recurring investment income** from the disposal of equity in two subsidiaries in the prior year[42](index=42&type=chunk) - During the reporting period, the company had **sufficient product orders**, significantly increased production and sales volumes year-on-year, increased operating revenue, improved capacity utilization, and significantly increased product gross profit margin; operating performance, excluding non-recurring gains and losses, **turned profitable**[42](index=42&type=chunk) [Business Review](index=15&type=section&id=Business%20Review) The Company primarily engages in R&D, manufacturing, sales, and export of energy equipment, with pipe products accounting for nearly 95% of revenue, operating on a "production-to-order" model with mature procurement and sales networks, achieving significant growth in orders, sales, and gross margin, and effective cost control. - The Company's main products are pipe products such as oil pipes and casing, accounting for nearly **95%** of the Company's operating revenue[40](index=40&type=chunk) - The Company's production and operation model is "production-to-order"[41](index=41&type=chunk) - The Company possesses a relatively **mature sales network**, with dedicated sales and import/export teams responsible for domestic and international market research, development, product sales, and after-sales service[41](index=41&type=chunk) [Significant Events After Reporting Period](index=16&type=section&id=Significant%20Events%20After%20Reporting%20Period) The Group had no significant events after the reporting period. - The Group had **no significant events** after the reporting period[43](index=43&type=chunk) [Future Outlook](index=16&type=section&id=Future%20Outlook) The energy equipment industry is influenced by global economic growth, oil and gas prices, and exploration expenditures; sustained high international crude oil prices and China's energy security policies are expected to boost domestic oil and gas exploration and production, creating a favorable environment for the Company. - Global economic growth rates, trends in oil and natural gas prices and consumption demand, global oil exploration and development expenditures, and the scale of oil and gas extraction are **decisive factors** affecting the prosperity of the industry in which the Company operates[44](index=44&type=chunk) - In recent years, international crude oil prices have remained relatively high, driving a continuous recovery in capital expenditure by oil and gas companies, increasing demand for oil and gas equipment and services, and a sustained rebound in industry prosperity[44](index=44&type=chunk) - The National Energy Administration's "2025 Energy Work Guidance Opinions" propose maintaining crude oil output above **200 million tons**, rapid growth in natural gas output, continuous increase in oil and gas reserves, and strengthening oil and gas exploration and development[45](index=45&type=chunk) [Major Investments Held](index=16&type=section&id=Major%20Investments%20Held) For the six months ended June 30, 2025, the Group held no major investments. - For the six months ended June 30, 2025, the Group held **no major investments**[46](index=46&type=chunk) [Major Acquisitions and Disposals of Subsidiaries, Associates, and Joint Ventures](index=16&type=section&id=Major%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%2C%20Associates%2C%20and%20Joint%20Ventures) For the six months ended June 30, 2025, the Group did not undertake any major acquisitions or disposals of subsidiaries, associates, or joint ventures. - For the six months ended June 30, 2025, the Group did **not undertake any major acquisitions or disposals** of subsidiaries, associates, or joint ventures[47](index=47&type=chunk) [Future Plans for Major Investments or Capital Assets](index=17&type=section&id=Future%20Plans%20for%20Major%20Investments%20or%20Capital%20Assets) As of June 30, 2025, the Group had no future plans for major investments or capital assets. - As of June 30, 2025, the Group had **no future plans** for major investments or capital assets[48](index=48&type=chunk) [Foreign Exchange Risk](index=17&type=section&id=Foreign%20Exchange%20Risk) The Group's income is settled in RMB and USD, while expenses are settled in HKD, RMB, and USD; no foreign currency hedging policy is currently adopted, but significant long-term changes in RMB exchange rates against USD and HKD could impact performance and financial position. - The Group's income is settled in **RMB and USD**, while expenses are settled in **HKD, RMB, and USD**[49](index=49&type=chunk) - The Group currently **does not adopt a foreign currency hedging policy**[49](index=49&type=chunk) - Long-term or significant changes in the exchange rates of RMB against USD and RMB against HKD may **impact the Group's performance and financial position**[49](index=49&type=chunk) [Corporate Governance](index=17&type=section&id=Corporate%20Governance) The Company is committed to good corporate governance, complying with all code provisions of the Corporate Governance Code in Appendix C1 of the HKEX Listing Rules; the Audit Committee reviewed the interim results, and the Board confirmed compliance with the Model Code for Securities Transactions by Directors. - The Company has adopted and consistently complied with **all code provisions** of the Corporate Governance Code as set out in Appendix C1 of the HKEX Listing Rules[50](index=50&type=chunk) - The Audit Committee has reviewed the **unaudited interim results and financial statements** for the six months ended June 30, 2025[51](index=51&type=chunk) - All Directors have confirmed full compliance with the **Model Code for Securities Transactions by Directors of Listed Issuers** throughout the six months ended June 30, 2025[52](index=52&type=chunk) [Repurchase, Sale or Redemption of the Group's Listed Securities](index=17&type=section&id=Repurchase%2C%20Sale%20or%20Redemption%20of%20the%20Group%27s%20Listed%20Securities) For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries repurchased, sold, or redeemed any of the Company's listed securities. - For the six months ended June 30, 2025, neither the Company nor any of its subsidiaries **repurchased, sold, or redeemed** any of the Company's listed securities[53](index=53&type=chunk) [Publication of Results Announcement and Interim Report](index=18&type=section&id=Publication%20of%20Results%20Announcement%20and%20Interim%20Report) This announcement has been published on the HKEX and the Company's website, and the interim report will be dispatched to shareholders and available for download from the Company and HKEX websites in due course. - This announcement has been published on the **HKEX website and the Company's website**[55](index=55&type=chunk) - The interim report for the six months ended June 30, 2025, will be dispatched to the Company's shareholders and available for download from the Company's website (http://www.molonggroup.com) and the HKEX website in due course[55](index=55&type=chunk) [Board of Directors](index=18&type=section&id=Board%20of%20Directors) As of the date of this announcement, the Company's Board of Directors comprises executive directors, non-executive directors, and independent non-executive directors. - The Company's Board of Directors comprises **Executive Directors** Mr. Han Gaogui, Mr. Yuan Rui, Mr. Wang Tao, and Mr. Song Guangjie[56](index=56&type=chunk) - **Non-executive Directors** are Mr. Huang Bingde and Ms. Zhang Min[56](index=56&type=chunk) - **Independent Non-executive Directors** are Mr. Zhang Zhenquan, Mr. Dong Shaohua, and Mr. Zhang Binggang[56](index=56&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依賴該等內容而引致的任 何 損 失 承 擔 任 何 責 任。 WEIli Holdings Limited 偉立控股有限公司 （於 開 曼 群 島 註 冊 成 立 之 有 限 公 司） （股 份 代 號：2372） 截 至2025年6月30日止六個月之中期業績公告 中期業績摘要 中期業績 偉 立 控 股 有 限 公 司（「本公司」）董 事（「董 事」）會（「董事會」）欣 然 提 呈 本 公 司 及 其 附 屬 公 司（統 稱「本集團」）截 至2025年6月30日 止 六 個 月（「報告期」） 的 未 經 審 核 簡 明 綜 合 中 期 財 務 報 表，連 同2024年 同 期 的 比 較 數 字。 – 1 – • 截 至2025年6月30日 止 六 個 月，收 益 減 少 約19.7%至約人民幣45.8百 萬 元（截 至2024年6月30日 止 六 個 月：約 人 民 幣57.1百 萬 元）。 • ...

[Performance Summary](index=1&type=section&id=%E4%BA%8C%E9%9B%B6%E4%BA%8C%E4%BA%94%E5%B9%B4%E4%B8%AD%E6%9C%9F%E4%B8%9A%E7%BB%A9%E6%91%98%E8%A6%81) The Group demonstrated resilience in core operations amidst a challenging market environment in the first half of 2025 - Property delivery: Approximately **15 thousand units** delivered, with over **285 thousand units** cumulatively since 2022[2](index=2&type=chunk) - Investment properties: Rental and related service income stable at approximately **RMB 786 million**[2](index=2&type=chunk) - Property management: Property management and other service income grew to approximately **RMB 3.375 billion**[2](index=2&type=chunk) - Debt management: Total outstanding debt decreased by approximately **RMB 4.4 billion** year-on-year[2](index=2&type=chunk) - Cash flow: Net cash generated from operating activities remained positive[2](index=2&type=chunk) [Financial Statements](index=2&type=section&id=Financial%20Statements) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=%E7%AE%80%E6%98%8E%E7%BB%BC%E5%90%88%E6%8D%9F%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) In H1 2025, Group revenue decreased by 39.2% to RMB 12.28 billion, with gross profit sharply down 63.7%, leading to a net loss of RMB 6.24 billion and basic loss per share of RMB 0.61 Condensed Consolidated Statement of Profit or Loss Key Data (For the six months ended June 30) | Indicator | 2025 (RMB thousand) | 2024 (RMB thousand) | Year-on-year Change | | :--- | :--- | :--- | :--- | | Revenue | 12,281,324 | 20,206,011 | -39.2% | | Gross Profit | 983,152 | 2,708,108 | -63.7% | | Loss Before Tax | (6,119,764) | (3,453,242) | +77.2% | | Loss for the Period | (6,239,277) | (4,440,408) | +40.5% | | Loss Attributable to Equity Holders of the Company | (6,357,763) | (4,939,432) | +28.7% | | Basic Loss Per Share (RMB) | (0.61) | (0.47) | +29.8% | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=%E7%AE%80%E6%98%8E%E7%BB%BC%E5%90%88%E8%B4%A2%E5%8A%A1%E7%8A%B6%E5%86%B5%E8%A1%A8) As of June 30, 2025, total assets declined to RMB 241.32 billion, with total liabilities at RMB 196.91 billion, resulting in a net current liability of RMB 8.83 billion, indicating increased short-term solvency pressure Condensed Consolidated Statement of Financial Position Key Data | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | Period Change | | :--- | :--- | :--- | :--- | | **Total Assets** | **241,319,850** | **256,168,485** | **-5.8%** | | Non-current Assets | 78,453,990 | 78,912,643 | -0.6% | | Current Assets | 162,865,860 | 177,255,842 | -8.1% | | **Total Liabilities** | **196,914,157** | **204,249,584** | **-3.6%** | | Current Liabilities | 171,694,418 | 176,299,544 | -2.6% | | Non-current Liabilities | 25,219,739 | 27,950,040 | -9.8% | | **Net Current Assets (Liabilities)** | **(8,828,558)** | **956,298** | **-** | | **Total Equity** | **44,405,693** | **51,918,901** | **-14.5%** | [Notes to the Financial Statements](index=6&type=section&id=%E7%AE%80%E6%98%8E%E7%BB%BC%E5%90%88%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%99%84%E6%B3%A8) [Basis of Preparation and Going Concern Risk](index=6&type=section&id=2.%20%E7%BC%96%E5%88%B6%E5%9F%BA%E5%87%86) Despite preparation on a going concern basis, significant uncertainties exist due to a RMB 6.36 billion loss and over RMB 57 billion in defaulted debts, with ongoing mitigation efforts uncertain - As of June 30, 2025, the Group faces severe financial challenges posing significant going concern uncertainty[10](index=10&type=chunk) - Operating performance: Net loss attributable to shareholders of approximately **RMB 6.36 billion** in H1[10](index=10&type=chunk) - Liquidity position: Net current liabilities reached **RMB 8.83 billion**[10](index=10&type=chunk) - Debt default: Unpaid principal and interest on bank borrowings, offshore senior notes, and convertible bonds totaled over **RMB 57 billion**, constituting default or cross-default[10](index=10&type=chunk) - To alleviate liquidity pressure, the Group has adopted several measures[11](index=11&type=chunk)[13](index=13&type=chunk) - Debt restructuring: Scheme of arrangement for offshore debt restructuring approved by the court[11](index=11&type=chunk) - Loan extension: Actively negotiating with domestic financial institutions for renewal and extension of existing borrowings[11](index=11&type=chunk) - Cost control: Implementing strict cost-cutting measures, reducing non-core businesses and expenses[13](index=13&type=chunk) - Asset disposal: Seeking opportunities to dispose of non-core assets to enhance cash position[13](index=13&type=chunk) [Segment Information](index=8&type=section&id=4.%20%E5%88%86%E9%83%A8%E8%B5%84%E6%96%99) The Group's property sales revenue declined 49.9% to RMB 8.12 billion, resulting in a RMB 2.06 billion segment loss, while property management revenue grew 5.2% to RMB 3.38 billion, and property investment revenue remained stable Segment Revenue and (Loss)/Profit (For the six months ended June 30) | Segment | 2025 (RMB thousand) | 2024 (RMB thousand) | Year-on-year Change | | :--- | :--- | :--- | :--- | | **Segment Revenue** | | | | | Property sales and other property related services | 8,119,887 | 16,208,285 | -49.9% | | Property investment | 786,050 | 788,703 | -0.3% | | Property management and other services | 3,375,387 | 3,209,023 | +5.2% | | **Total** | **12,281,324** | **20,206,011** | **-39.2%** | | **Segment (Loss)/Profit** | | | | | Property sales and other property related services | (2,057,775) | (747,984) | -175.1% | | Property investment | 466,199 | 462,689 | +0.8% | | Property management and other services | 591,220 | 669,279 | -11.7% | | **Total** | **(1,000,356)** | **383,984** | **-** | [Analysis of Key Profit and Loss Items](index=10&type=section&id=Key%20P%26L%20Items%20Analysis) Total finance costs decreased by 15.6%, but expensed finance costs increased by 5.2% to RMB 1.94 billion due to a significant reduction in capitalized amounts, while income tax expense sharply declined by 87.9% Finance Cost Analysis (For the six months ended June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Total interest expense on borrowings | 2,340,408 | 2,772,086 | | Less: Amount capitalized | (403,563) | (930,771) | | **Finance costs charged to profit or loss** | **1,936,845** | **1,841,315** | - Total income tax expense for the period was **RMB 119.5 million**, a significant decrease of **87.9%** from RMB 987.2 million in the prior year, primarily due to the expanded pre-tax loss[22](index=22&type=chunk) [Analysis of Key Balance Sheet Items](index=13&type=section&id=Key%20Balance%20Sheet%20Items%20Analysis) Net trade receivables increased to RMB 4.34 billion, with a rise in overdue amounts, while trade payables remained stable at RMB 26.49 billion, with a high proportion (45.6%) over one year old Trade Receivables Ageing Analysis (Net of loss allowance) | Ageing | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 60 days | 1,806,146 | 1,801,275 | | 61 to 180 days | 531,287 | 464,198 | | 181 to 365 days | 599,032 | 338,613 | | Over 1 year | 1,407,033 | 1,129,935 | | **Total** | **4,343,498** | **3,734,021** | Trade Payables Ageing Analysis | Ageing | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within 60 days | 11,395,928 | 10,927,385 | | 61 to 180 days | 1,428,366 | 1,020,088 | | 181 to 365 days | 1,599,048 | 2,194,751 | | Over 1 year | 12,066,948 | 12,624,045 | | **Total** | **26,490,290** | **26,766,269** | [Summary of Independent Review Report](index=16&type=section&id=%E7%8B%AC%E7%AB%8B%E5%AE%A1%E9%98%85%E6%8A%A5%E5%91%8A%E6%91%98%E8%A6%81) [Material Uncertainty Related to Going Concern](index=16&type=section&id=%E4%B8%8E%E6%8C%81%E7%BB%AD%E7%BB%8F%E8%90%A5%E6%9C%89%E5%85%B3%E7%9A%84%E9%87%8D%E5%A4%A7%E4%B8%8D%E7%A1%AE%E5%AE%9A%E5%9B%A0%E7%B4%A0) The independent auditor's review report highlights significant uncertainties regarding the Group's ability to continue as a going concern, citing substantial losses, net current liabilities, and widespread debt defaults - The independent auditor's review report emphasizes "Material Uncertainty Related to Going Concern," noting that the Group's financial condition, including substantial losses, net current liabilities, and debt defaults, indicates significant uncertainty that may cast substantial doubt on its ability to continue as a going concern[37](index=37&type=chunk)[38](index=38&type=chunk) [Management Discussion and Analysis](index=16&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) [Market Review and Outlook](index=16&type=section&id=%E4%BA%8C%E9%9B%B6%E4%BA%8C%E4%BA%94%E5%B9%B4%E4%B8%8A%E5%8D%8A%E5%B9%B4%E5%9B%9E%E9%A1%B5%E5%8F%8A%E4%B8%8B%E5%8D%8A%E5%B9%B4%E5%B1%95%E6%9C%9B) Management observes a structural stabilization in the H1 2025 China property market, with sales decline narrowing but recovery challenges persisting, expecting continued differentiation in H2 - Management's core market assessment[39](index=39&type=chunk)[41](index=41&type=chunk)[42](index=42&type=chunk) - Current market: Policy stimulus effects are weakening, market recovery faces challenges, new home inventory pressure is high, property prices are still bottoming out, and market segmentation is evident[39](index=39&type=chunk) - H2 Outlook: The market will continue its structural stabilization, with higher-tier cities showing more resilient sales, second-hand home transactions outperforming new homes, and high-quality residential properties remaining popular[41](index=41&type=chunk) - Corporate strategy: Property developers will highly focus investments on core cities and core locations, accelerating the transition to asset-light models like project management and commercial operations[42](index=42&type=chunk) [Business Review](index=18&type=section&id=Business%20Review) The Group's business performance diverged in H1 2025, with core property development sales halved, investment property income stable, and property management achieving robust 5.2% growth [Property Development](index=18&type=section&id=%E6%88%BF%E5%9C%B0%E4%BA%A7%E5%BC%80%E5%8F%91) In H1 2025, contract sales plummeted 50.0% to RMB 10.16 billion, with an average selling price of RMB 10,274/sqm, primarily in central-western regions and second-tier cities Contract Sales Performance (For the six months ended June 30, 2025) | Indicator | Amount | Year-on-year Change | | :--- | :--- | :--- | | Contract Sales Value | RMB 10.16 billion | -50.0% | | Contract Sales Area | 0.9893 million square meters | -40.3% | | Average Contract Sales Price | RMB 10,274/square meter | -16.2% (estimated) | - Geographically, the central-western region contributed **37.6%** of contract sales, with the Bohai Rim and Yangtze River Delta contributing **25.5%** and **24.4%** respectively[45](index=45&type=chunk) - By city tier, first and second-tier cities collectively accounted for **87.0%** of sales[45](index=45&type=chunk) - Recognized property sales revenue for the period was **RMB 7.86 billion**, a **50.4%** year-on-year decrease, with major delivery regions being the central-western and Yangtze River Delta[48](index=48&type=chunk) [Property Investment](index=21&type=section&id=%E6%88%BF%E5%9C%B0%E4%BA%A7%E6%8A%95%E8%B5%84) Investment property rental and other service income remained stable at approximately RMB 786 million in H1 2025, a slight 0.3% decrease, with 33 properties totaling 2.282 million sqm held - Investment property rental and other service income was **RMB 786 million**, a **0.3%** year-on-year decrease, with major income sources from core projects in Shanghai and Beijing[52](index=52&type=chunk) [Property Management](index=21&type=section&id=%E7%89%A9%E4%B8%9A%E7%AE%A1%E7%90%86) Property management and other service income achieved robust growth, increasing by 5.2% to approximately RMB 3.38 billion in H1 2025, providing a stable revenue stream - Property management and other service income increased by **5.2%** year-on-year to **RMB 3.375 billion**, primarily due to an increase in the number of properties under management[53](index=53&type=chunk) [Financial Review](index=22&type=section&id=Financial%20Review) The Group's financial position further deteriorated in H1 2025, with significant declines in revenue and gross profit, expanded net loss due to impairments, and increased leverage and liquidity risks [Revenue and Profit Analysis](index=22&type=section&id=Revenue%20and%20Profit%20Analysis) Total revenue decreased by 39.2% to RMB 12.28 billion, primarily due to reduced property sales, with gross margin falling to 8.0%, and significant impairment losses expanding the net loss to RMB 6.36 billion Breakdown of Recognized Revenue (For the six months ended June 30) | Revenue Category | 2025 (RMB thousand) | % of Total | 2024 (RMB thousand) | % of Total | Year-on-year Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Property sales and other property related services | 8,119,887 | 66.1% | 16,208,285 | 80.2% | -49.9% | | Rental and other services | 786,050 | 6.4% | 788,703 | 3.9% | -0.3% | | Property management and other services | 3,375,387 | 27.5% | 3,209,023 | 15.9% | +5.2% | | **Total** | **12,281,324** | **100.0%** | **20,206,011** | **100.0%** | **-39.2%** | - Gross profit decreased by **63.7%** year-on-year to **RMB 983 million**, with gross margin declining from 13.4% to **8.0%**[58](index=58&type=chunk) - Net loss attributable to shareholders expanded to **RMB 6.36 billion**, compared to RMB 4.94 billion in the prior year[66](index=66&type=chunk) [Balance Sheet and Liquidity Analysis](index=25&type=section&id=Balance%20Sheet%20and%20Liquidity%20Analysis) Total debt decreased to RMB 84.2 billion, but cash was tight at RMB 10.16 billion (60% restricted), while net gearing ratio surged to 166.8% and current ratio dropped to 0.9x, indicating worsening liquidity and leverage - As of June 30, 2025, bank balances and cash were approximately **RMB 10.16 billion**, including **RMB 1.73 billion** in pledged deposits and **RMB 4.30 billion** in regulated account funds[72](index=72&type=chunk) - Total outstanding borrowings were approximately **RMB 84.21 billion**, a decrease from RMB 86.65 billion at the end of 2024[73](index=73&type=chunk) Key Financial Ratios | Ratio | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net Debt to Equity Ratio | 166.8% | 145.6% | | Debt to Asset Ratio | 34.9% | 33.8% | | Current Ratio | 0.9 times | 1.0 times | [Risk Management](index=26&type=section&id=Risk%20Management) The Group faces significant unhedged foreign currency risk from substantial foreign currency-denominated debts and interest rate risk from floating-rate borrowings - The Group is exposed to foreign currency risk, primarily from bank balances, borrowings, senior notes, and convertible bonds denominated in foreign currencies, with no foreign currency hedging arrangements in place[75](index=75&type=chunk) - The Group is exposed to market interest rate fluctuation risk related to interest-bearing bank and other borrowings and does not use derivative financial instruments to hedge interest rate risk[76](index=76&type=chunk) [Other Information](index=28&type=section&id=Other%20Information) [Dividends and Governance](index=28&type=section&id=%E8%82%A1%E6%81%AF%E5%8F%8A%E7%AE%A1%E6%B2%BB) The Board resolved not to declare an interim dividend for H1 2025 due to current financial conditions, while the company complied with corporate governance codes, and interim results were reviewed by auditors and the audit committee - The Board resolved not to declare an interim dividend for the six months ended June 30, 2025[80](index=80&type=chunk) - The Company complied with the Corporate Governance Code during the reporting period, and the interim financial statements were reviewed by the auditor and considered by the audit committee[81](index=81&type=chunk)[84](index=84&type=chunk)

[Announcement Overview](index=1&type=section&id=Announcement%20Overview) [Unaudited Financial Results Summary](index=1&type=section&id=Unaudited%20Financial%20Results%20Summary) This announcement presents the unaudited interim results for the six months ended June 30, 2025, reviewed by the audit committee and independent auditor - **Raymond Industrial Limited** announced its unaudited interim results for the six months ended June 30, 2025[3](index=3&type=chunk) - The condensed consolidated financial statements have been reviewed by the company's **audit committee** and **independent auditor RSM Hong Kong**[3](index=3&type=chunk) [Condensed Consolidated Financial Statements](index=2&type=section&id=Condensed%20Consolidated%20Financial%20Statements) [Condensed Consolidated Income Statement](index=2&type=section&id=Condensed%20Consolidated%20Income%20Statement) The Group reported increased revenue and profit for the six months ended June 30, 2025, with higher basic earnings per share Condensed Consolidated Income Statement Key Data (For the 6 months ended June 30) | Metric | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 530,704 | 523,457 | +1.38% | | Cost of sales | (453,100) | (445,764) | +1.65% | | Gross profit | 77,604 | 77,693 | -0.11% | | Other income | 7,171 | 9,267 | -22.62% | | Other net gains | 11,601 | 6,542 | +77.33% | | Profit before tax | 36,520 | 29,510 | +23.75% | | Income tax expense | (4,015) | (2,689) | +49.31% | | Profit for the period attributable to owners of the Company | 32,505 | 26,821 | +21.19% | | Basic earnings per share (HK cents) | 6.48 | 5.35 | +21.12% | [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=3&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) Total comprehensive income attributable to owners decreased, due to prior year's property revaluation gains and current period's exchange differences Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Key Data (For the 6 months ended June 30) | Metric | 2025 (thousand HKD) | 2024 (thousand HKD) | | :--- | :--- | :--- | | Profit for the period attributable to owners of the Company | 32,505 | 26,821 | | Revaluation gain on property, plant and equipment transferred to investment properties | - | 32,797 | | Exchange differences arising from translating financial statements of overseas operations | 3,832 | (2,261) | | Other comprehensive income for the period, net of tax | 3,832 | 30,536 | | Total comprehensive income for the period attributable to owners of the Company | 36,337 | 57,357 | - Total comprehensive income for the first half of 2025 decreased, mainly because the prior year included **property revaluation gains**, while 2025 recorded **exchange differences from overseas operations**[6](index=6&type=chunk) [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, the Group's total assets slightly decreased to HKD 881,529 thousand, with net current assets of HKD 507,026 thousand and total equity of HKD 671,993 thousand Condensed Consolidated Statement of Financial Position Key Data (As of June 30, 2025) | Metric | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | Change (thousand HKD) | | :--- | :--- | :--- | :--- | | Non-current assets | 165,115 | 166,614 | (1,499) | | Current assets | 716,414 | 713,630 | 2,784 | | Current liabilities | 209,388 | 204,327 | 5,061 | | Net current assets | 507,026 | 509,303 | (2,277) | | Total assets less current liabilities | 672,141 | 675,917 | (3,776) | | Non-current liabilities | 148 | 155 | (7) | | Net assets | 671,993 | 675,762 | (3,769) | | Total equity | 671,993 | 675,762 | (3,769) | - Bank and cash balances decreased from **HKD 349,130 thousand** as of December 31, 2024, to **HKD 325,178 thousand** as of June 30, 2025[7](index=7&type=chunk) [Notes to Financial Statements](index=5&type=section&id=Notes%20to%20Financial%20Statements) [Basis of Preparation](index=5&type=section&id=Basis%20of%20Preparation) The condensed financial information is prepared in accordance with HKAS 34 "Interim Financial Reporting" and the HKEX Listing Rules, consistent with the accounting policies and methods used in the 2024 annual financial statements - The condensed financial information is prepared in accordance with **Hong Kong Accounting Standard 34** and the **HKEX Listing Rules**[8](index=8&type=chunk) - The accounting policies and methods of computation used in preparing the condensed financial statements are consistent with those adopted in the annual financial statements for the year ended December 31, 2024[9](index=9&type=chunk) [New and Revised HKFRS](index=5&type=section&id=New%20and%20Revised%20HKFRS) The Group adopted the amendment to HKAS 21 "Lack of Exchangeability" from January 1, 2025, with no impact on accounting policies, and is assessing the potential impact of HKFRS 18 "Presentation and Disclosure in Financial Statements" effective in 2027 - The Group first applied the amendment to **HKAS 21 "Lack of Exchangeability"** from January 1, 2025, without changing accounting policies or making retrospective adjustments[10](index=10&type=chunk) - **HKFRS 18 "Presentation and Disclosure in Financial Statements"**, effective January 1, 2027, is expected to significantly impact the statement of profit or loss structure, disclosure of management-defined performance measures, and disaggregation requirements[11](index=11&type=chunk) - Management is assessing the impact of **HKFRS 18** on the presentation and disclosures in the consolidated financial statements[12](index=12&type=chunk) [Fair Value Measurement](index=6&type=section&id=Fair%20Value%20Measurement) The carrying amounts of the Group's financial assets and liabilities approximate their fair values, with investment properties (Hong Kong office and warehouse) measured at Level 3 fair value using the income capitalization approach, remaining at HKD 32,800 thousand as of June 30, 2025 - The carrying amounts of the Group's financial assets and financial liabilities approximate their respective **fair values**[13](index=13&type=chunk) Investment Properties Fair Value Measurement (Level 3) | Description | June 30, 2025 (thousand HKD) | December 31, 2024 (thousand HKD) | | :--- | :--- | :--- | | Investment properties (office and warehouse – Hong Kong) | 32,800 | 32,800 | - Investment properties are valued using the **income capitalization approach**, with key unobservable inputs including market yield (3.8%) and market monthly rent (HKD 5,769 - HKD 7,264/sq ft/month)[19](index=19&type=chunk) [Segment Information](index=8&type=section&id=Segment%20Information) The Group primarily manufactures and sells household electrical appliances, with five reportable operating segments based on customer location; total segment revenue and profit increased in the first half of 2025, despite a decline in the Asia segment - The Group is principally engaged in the **manufacture and sale of household electrical appliances**, with production facilities located in China[20](index=20&type=chunk) - Reportable operating segments are categorized by customer location, including **Asia** (China, Korea, Japan), **Europe** (UK, Netherlands), **Latin America** (Mexico), **North America** (USA, Canada), and **Rest of the World** (Australia, Africa)[20](index=20&type=chunk)[21](index=21&type=chunk)[24](index=24&type=chunk) Reportable Segment Revenue (For the 6 months ended June 30) | Segment | 2025 (thousand HKD) | 2024 (thousand HKD) | Y-o-Y Change (%) | | :--- | :--- | :--- | :--- | | Asia | 132,127 | 155,322 | -14.93% | | Europe | 135,514 | 123,695 | +9.56% | | Latin America | 113,950 | 110,829 | +2.82% | | North America | 126,767 | 121,210 | +4.58% | | Rest of the World | 22,346 | 12,401 | +80.20% | | **Total** | **530

[Financial and Operational Summary](index=1&type=section&id=Financial%20and%20Operational%20Summary) The company's financial and operational performance for the six months ended June 30, 2025, shows a decrease in revenue but an increase in profit attributable to owners of the Company and basic earnings per share Financial and Operational Summary for the Six Months Ended June 30, 2025 | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 6,575,509 | 7,255,090 | (9.4)% | | Profit attributable to owners of the Company | 245,510 | 239,077 | 2.7% | | Basic earnings per share (HK cents) | 8.89 | 8.57 | 3.7% | | Natural gas sales volume (Thousand cubic meters) | 1,688,073 | 1,738,419 | (2.9)% | | Natural gas sales volume to LNG wholesale customers (Thousand cubic meters) | 357,900 | 178,291 | 100.7% | | New piped gas connections for industrial and commercial customers | 1,757 | 1,345 | 30.6% | | Cumulative number of integrated energy projects | 262 | 216 | 21.3% | [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) The consolidated statement of profit or loss and other comprehensive income for the six months ended June 30, 2025, reflects a decrease in revenue and gross profit, but an increase in profit attributable to owners of the Company Key Data from Consolidated Statement of Profit or Loss and Other Comprehensive Income for the Six Months Ended June 30, 2025 | Indicator | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 6,575,509 | 7,255,090 | (9.4)% | | Cost of sales | (5,786,266) | (6,240,798) | (7.3)% | | Gross profit | 789,243 | 1,014,292 | (22.2)% | | Other income and losses | 123,142 | (57,746) | Improvement | | Profit before tax | 400,608 | 410,177 | (2.3)% | | Profit for the period | 248,181 | 262,838 | (5.6)% | | Profit attributable to owners of the Company | 245,510 | 239,077 | 2.7% | | Total comprehensive income for the period | 373,463 | 106,121 | 251.9% | | Total comprehensive income attributable to owners of the Company | 355,853 | 91,661 | 288.2% | | Basic earnings per share (HK cents) | 8.89 | 8.57 | 3.7% | | Diluted earnings per share (HK cents) | 8.89 | 8.57 | 3.7% | [Consolidated Statement of Financial Position](index=4&type=section&id=Consolidated%20Statement%20of%20Financial%20Position) The consolidated statement of financial position as of June 30, 2025, indicates an increase in total equity but a significant rise in net current liabilities Key Data from Consolidated Statement of Financial Position as of June 30, 2025 | Indicator | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Non-current assets | 19,988,244 | 19,664,880 | 1.6% | | Current assets | 6,389,654 | 6,557,744 | (2.6)% | | Current liabilities | 11,304,106 | 9,675,694 | 16.8% | | Net current liabilities | (4,914,452) | (3,117,950) | (57.6)% | | Total assets less current liabilities | 15,073,792 | 16,546,930 | (8.9)% | | Total equity | 8,611,136 | 8,380,971 | 2.7% | | Non-current liabilities | 6,462,656 | 8,165,959 | (20.9)% | [Notes](index=6&type=section&id=Notes) This section provides detailed explanations and disclosures regarding the basis of preparation, accounting policies, and specific financial statement line items [1. Basis of Preparation](index=6&type=section&id=1.%20Basis%20of%20Preparation) The condensed consolidated financial statements are prepared in accordance with HKAS 34 and the HKEX Listing Rules, and should be read with the annual financial statements - The condensed consolidated financial statements are prepared in compliance with Hong Kong Accounting Standard 34 and the disclosure requirements of the Listing Rules[8](index=8&type=chunk) - The statements should be read in conjunction with the annual financial statements for the year ended December 31, 2024[8](index=8&type=chunk) [2. Significant Accounting Policies](index=6&type=section&id=2.%20Significant%20Accounting%20Policies) The condensed consolidated financial statements are prepared using the historical cost convention, with certain assets measured at revalued amounts or fair value, and new accounting standards had no material impact - The financial statements are primarily prepared under the historical cost convention, with certain assets such as property, plant and equipment, financial instruments, and investment properties measured at revalued amounts or fair value[9](index=9&type=chunk) - The revised Hong Kong Financial Reporting Standards, including HKAS 21 (Amendment) "The Effects of Changes in Foreign Exchange Rates – Lack of Exchangeability," issued by the HKICPA, were adopted for the first time in this interim period[10](index=10&type=chunk)[11](index=11&type=chunk) - The application of new accounting standards had no material impact on the Group's financial position and performance for the current and prior periods[11](index=11&type=chunk) [3. Revenue](index=7&type=section&id=3.%20Revenue) The Group's revenue for the six months ended June 30, 2025, decreased by 9.4% year-on-year, with gas sales remaining the primary source, but gas pipeline construction and smart energy revenue significantly declined Revenue from Contracts with Customers Analysis (by Product or Service Type) | Product or Service Type | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | Change (%) | | :--- | :--- | :--- | :--- | | Gas sales | 5,619,687 | 5,860,550 | (4.1)% | | Gas pipeline construction | 380,049 | 580,215 | (34.5)% | | Smart energy | 332,361 | 548,680 | (39.4)% | | Value-added services | 151,416 | 169,567 | (10.7)% | | Sales of compressed natural gas/liquefied natural gas at vehicle filling stations | 91,996 | 96,078 | (4.2)% | | **Total** | **6,575,509** | **7,255,090** | **(9.4)%** | Timing of Revenue Recognition from Contracts with Customers | Timing of Revenue Recognition | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | At a point in time | 6,195,460 | 6,674,875 | | Over time | 380,049 | 580,215 | | **Total** | **6,575,509** | **7,255,090** | - Revenue from contracts with customers primarily originates from China[12](index=12&type=chunk) [4. Segment Information](index=8&type=section&id=4.%20Segment%20Information) The Group's operating segments include gas sales, gas pipeline construction, smart energy, value-added services, and vehicle filling station operations, all experiencing a decline in revenue and profit for the period - The Group's operating segments include gas sales, gas pipeline construction, smart energy, value-added services, and the operation of compressed natural gas/liquefied natural gas vehicle filling stations[14](index=14&type=chunk) Segment Revenue and Profit for the Six Months Ended June 30, 2025 | Segment | Revenue (HK$ Thousand) | Profit (HK$ Thousand) | | :--- | :--- | :--- | | Gas sales | 5,619,687 | 218,055 | | Gas pipeline construction | 380,049 | 181,600 | | Smart energy | 332,361 | 28,962 | | Value-added services | 151,416 | 40,821 | | Operation of compressed natural gas/liquefied natural gas vehicle filling stations | 91,996 | 1,529 | | **Consolidated** | **6,575,509** | **470,967** | | Profit before tax | | 400,608 | Segment Revenue and Profit for the Six Months Ended June 30, 2024 | Segment | Revenue (HK$ Thousand) | Profit (HK$ Thousand) | | :--- | :--- | :--- | | Gas sales | 5,860,550 | 290,763 | | Gas pipeline construction | 580,215 | 307,699 | | Smart energy | 548,680 | 38,642 | | Value-added services | 169,567 | 61,930 | | Operation of compressed natural gas/liquefied natural gas vehicle filling stations | 96,078 | 1,847 | | **Consolidated** | **7,255,090** | **700,881** | | Profit before tax | | 410,177 | [5. Other Income and Losses](index=10&type=section&id=5.%20Other%20Income%20and%20Losses) Other income and losses for the period turned from a net loss of HK$57,746 thousand in the prior year to a net gain of HK$123,142 thousand, primarily due to foreign exchange gains Details of Other Income and Losses | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Foreign exchange gain (loss) | 126,756 | (57,176) | | Net loss on disposal of property, plant and equipment | (1,436) | (570) | | Others | (2,178) | – | | **Total** | **123,142** | **(57,746)** | [6. Finance Costs](index=10&type=section&id=6.%20Finance%20Costs) Finance costs for the six months ended June 30, 2025, decreased by 24.8% year-on-year, mainly attributable to lower effective interest rates Details of Finance Costs | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Interest on borrowings and lease liabilities | 267,937 | 321,570 | | Amortisation of loan financing fees related to bank borrowings | 17,730 | 34,385 | | **Total borrowing costs** | **285,667** | **355,955** | | Less: Amounts capitalised in construction in progress | (77,174) | (78,520) | | **Total** | **208,493** | **277,435** | [7. Income Tax Expense](index=10&type=section&id=7.%20Income%20Tax%20Expense) Income tax expense for the six months ended June 30, 2025, increased by 3.5% year-on-year, primarily due to a higher effective tax rate Income Tax Expense | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | China corporate income tax | 152,427 | 147,339 | - The tax rate for PRC subsidiaries is **25%**, while Hong Kong profits tax rate is **16.5%** (no assessable profits for the current period)[20](index=20&type=chunk) - PRC tax authorities levied withholding tax of **HK$30,355 thousand** (2024: HK$17,493 thousand) on dividends paid by overseas Group entities[20](index=20&type=chunk) [8. Profit for the Period](index=11&type=section&id=8.%20Profit%20for%20the%20Period) Profit for the period is stated after deducting expenses such as amortization of other intangible assets, depreciation of right-of-use assets, and depreciation of property, plant, and equipment Items Deducted from Profit for the Period | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Amortisation of other intangible assets (included in cost of sales) | 41,437 | 42,010 | | Depreciation of right-of-use assets | 9,107 | 9,948 | | Depreciation of property, plant and equipment | 251,195 | 250,214 | [9. Dividends](index=11&type=section&id=9.%20Dividends) The Board recommended a final dividend of HK 2 cents per ordinary share for the year ended December 31, 2024, totaling HK$54,966 thousand, but no interim dividend is proposed for the current period - The Board has recommended a final dividend of **HK 2 cents** per ordinary share for the year ended December 31, 2024, totaling **HK$54,966 thousand**, which has been approved by shareholders[22](index=22&type=chunk) - No dividends were paid for the six months ended June 30, 2024, and 2025[23](index=23&type=chunk) - The Directors do not recommend the payment of an interim dividend for the six months ended June 30, 2025, after the end of this interim period[24](index=24&type=chunk) [10. Earnings Per Share](index=11&type=section&id=10.%20Earnings%20Per%20Share) Basic and diluted earnings per share attributable to owners of the Company for the six months ended June 30, 2025, both increased to HK 8.89 cents Earnings Per Share Calculation Data | Item | 2025 (HK$ Thousand/Thousand Shares) | 2024 (HK$ Thousand/Thousand Shares) | | :--- | :--- | :--- | | Profit (Profit attributable to owners of the Company for the period) | 245,510 | 239,077 | | Weighted average number of ordinary shares | 2,762,021 | 2,790,825 | | **Basic and diluted earnings per share (HK cents)** | **8.89** | **8.57** | [11. Trade Receivables](index=12&type=section&id=11.%20Trade%20Receivables) Total trade receivables as of June 30, 2025, increased to HK$2,177,368 thousand compared to December 31, 2024, with a notable increase in amounts aged 0 to 180 days - The Group generally grants an average credit period of **30 to 180 days** to its trade customers[27](index=27&type=chunk) Ageing Analysis of Trade Receivables | Ageing | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | 0 to 180 days | 1,223,535 | 767,545 | | 181 to 360 days | 254,112 | 271,130 | | Over 360 days | 699,721 | 694,172 | | **Total trade receivables** | **2,177,368** | **1,732,847** | - As of June 30, 2025, trade receivables included **HK$953,833 thousand** of overdue debts not considered in default, primarily from debtors with no history of bad debts or low credit risk local governments in China[28](index=28&type=chunk) [12. Trade Payables](index=12&type=section&id=12.%20Trade%20Payables) Total trade payables as of June 30, 2025, decreased to HK$1,453,832 thousand compared to December 31, 2024 - The average credit period for purchases of goods is **90 days**[29](index=29&type=chunk) Ageing Analysis of Trade Payables | Ageing | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | 0 to 90 days | 714,749 | 746,400 | | 91 to 180 days | 102,115 | 108,586 | | Over 180 days | 636,968 | 692,389 | | **Total trade payables** | **1,453,832** | **1,547,375** | [Liquidity, Financial Resources and Working Capital](index=13&type=section&id=Liquidity,%20Financial%20Resources%20and%20Working%20Capital) This section details the Group's treasury management, liquidity position, and financial resources, highlighting a rise in net current liabilities and a decrease in the current ratio [Treasury Management and Financing](index=13&type=section&id=Treasury%20Management%20and%20Financing) The Group's treasury management aims to maintain a diversified and balanced debt profile and financing structure, ensuring sufficient liquidity for operations and growth through centralized coordination - The Group's financing and treasury policy aims to maintain a diversified and balanced debt profile and financing structure[30](index=30&type=chunk) - Cash flows and debt positions are continuously monitored through centralized coordination to enhance the cost-effectiveness of financing activities[30](index=30&type=chunk) - A robust funding base has been established, and the Group continuously seeks cost-effective financing channels to provide financial flexibility and sufficient liquidity for operations, potential investments, and growth plans[30](index=30&type=chunk) [Liquidity](index=13&type=section&id=Liquidity) As of June 30, 2025, the Group's total assets slightly increased, but net current liabilities significantly rose due to an increase in borrowings due within one year, leading to a decrease in the current ratio - As of June 30, 2025, the Group's total assets increased by **0.6%** to **HK$26,377,898 thousand**[31](index=31&type=chunk) - Net current liabilities increased by **57.6%** to **HK$4,914,452 thousand**, primarily due to an increase in borrowings due within one year[31](index=31&type=chunk) - The current ratio was approximately **0.6** (December 31, 2024: 0.7)[31](index=31&type=chunk) - Total borrowings and lease liabilities increased by **2.9%** to **HK$13,303,738 thousand**[31](index=31&type=chunk) - Total net debt was **HK$12,646,810 thousand**, with a net gearing ratio of approximately **1.47** (December 31, 2024: 1.35)[32](index=32&type=chunk) [Financial Resources](index=13&type=section&id=Financial%20Resources) The Group primarily funds its operations through internal resources and bank borrowings, all on normal commercial terms and unaffected by seasonality, with the Board deeming working capital sufficient - The Group generally funds its operations through internally generated resources and bank and other borrowings[33](index=33&type=chunk) - All bank and other borrowings are entered into on normal commercial terms and are not subject to seasonal fluctuations[33](index=33&type=chunk)[34](index=34&type=chunk) - The Board believes the Group has sufficient working capital to meet its requirements, given its sound financial and liquidity position[35](index=35&type=chunk) [Exchange Rate Fluctuation Risk](index=14&type=section&id=Exchange%20Rate%20Fluctuation%20Risk) The Group's monetary assets and liabilities are primarily denominated in RMB, HKD, or USD, with business transactions mainly in RMB, and it actively seeks financial instruments to hedge against potential RMB depreciation - The Group's monetary assets and liabilities are primarily denominated in Renminbi, Hong Kong Dollars, or US Dollars, with business transactions mainly conducted in Renminbi[36](index=36&type=chunk) - Due to the appreciation of the Renminbi since mid-May 2025, the Group recorded foreign exchange gains on its bank borrowings denominated in US Dollars and Hong Kong Dollars[36](index=36&type=chunk) - The Group actively seeks appropriate financial instruments to hedge against potential Renminbi depreciation, although no hedging activities were undertaken as of June 30, 2025[36](index=36&type=chunk) [Employee Information](index=14&type=section&id=Employee%20Information) As of June 30, 2025, the Group had 5,143 employees, with approximately 99.7% located in China, and total employee benefit expenses increased due to a higher headcount - As of June 30, 2025, the Group had **5,143 employees** in Hong Kong and China (2024: 5,111 employees)[37](index=37&type=chunk) - Total employee benefit expenses amounted to approximately **HK$322,884 thousand** (2024: HK$317,661 thousand), with the increase primarily due to a higher headcount[37](index=37&type=chunk) - Approximately **99.7%** of the Group's employees are located in China[37](index=37&type=chunk) - Remuneration and bonus policies are determined based on individual employee performance, and directors' remuneration is recommended by the Remuneration Committee[38](index=38&type=chunk) [Pledge of the Group's Assets](index=15&type=section&id=Pledge%20of%20the%20Group%27s%20Assets) As of June 30, 2025, and December 31, 2024, the Group had no pledged bank deposits to secure short-term general banking facilities - As of June 30, 2025, and December 31, 2024, no bank deposits were pledged to secure short-term general banking facilities granted to the Group[39](index=39&type=chunk) [Material Investments and Major Acquisitions and Disposals](index=15&type=section&id=Material%20Investments%20and%20Major%20Acquisitions%20and%20Disposals) During the review period, the Group did not undertake any material investments or significant acquisitions or disposals of subsidiaries, associates, or joint ventures - During the review period, the Group did not undertake any material investments, nor did it engage in any major acquisitions or disposals of subsidiaries, associates, or joint ventures[40](index=40&type=chunk) [Future Plans for Material Investments or Capital Assets](index=15&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) As of June 30, 2025, the Board had no specific plans for material investments or capital assets - As of June 30, 2025, the Board had no specific plans regarding material investments or capital assets[41](index=41&type=chunk) [Capital and Other Commitments](index=15&type=section&id=Capital%20and%20Other%20Commitments) As of June 30, 2025, capital expenditure contracted but not provided for in the condensed consolidated financial statements amounted to HK$92,022 thousand, primarily for the acquisition of property, plant, and equipment and right-of-use assets Capital Expenditure Commitments | Item | June 30, 2025 (HK$ Thousand) | December 31, 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Capital expenditure contracted but not provided for | 92,022 | 98,076 | - Capital expenditure is primarily for the acquisition of property, plant and equipment and right-of-use assets[42](index=42&type=chunk) [Contingent Liabilities](index=15&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the Group had no contingent liabilities - As of June 30, 2025, the Group had no contingent liabilities[43](index=43&type=chunk) [Business Review](index=15&type=section&id=Business%20Review) This section provides an overview of the Group's operations, key operating data, and a detailed analysis of revenue and profitability across its various business segments [Business Overview](index=15&type=section&id=Business%20Overview) The Group primarily invests in, operates, and manages gas pipeline infrastructure in China, distributing piped gas to residential, industrial, and commercial users, while also developing smart energy, providing value-added services, and operating vehicle filling stations - The Group's principal businesses include investment, operation, and management of gas pipeline infrastructure, and distribution of piped gas to residential, industrial, and commercial users[44](index=44&type=chunk) - Other businesses include the development of smart energy, sales of stoves and other related value-added services, and the operation of compressed natural gas/liquefied natural gas vehicle filling stations[44](index=44&type=chunk) [Piped Gas Distribution Projects](index=16&type=section&id=Piped%20Gas%20Distribution%20Projects) As of June 30, 2025, the Group held exclusive operating rights for 74 gas projects in China - As of June 30, 2025, the Group held exclusive operating rights for **74 gas projects** in China[45](index=45&type=chunk) [Key Operating Data](index=16&type=section&id=Key%20Operating%20Data) The Group's natural gas distribution business saw a slight decrease in operating locations but continued growth in connectable population and residential users, with total natural gas sales volume slightly down, yet LNG wholesale sales volume doubled Key Operating Data for the Six Months Ended June 30, 2025 | Indicator | 2025 | 2024 | Increase/(Decrease) | | :--- | :--- | :--- | :--- | | Number of operating locations | 74 | 75 | (1) | | Connectable population (Thousand persons) | 25,939 | 25,244 | 2.8% | | Connectable residential users (Thousand households) | 7,411 | 7,199 | 2.9% | | New piped gas connections during the period - Residential users | 105,560 | 171,112 | (38.3)% | | New piped gas connections during the period - Industrial customers | 186 | 138 | 34.8% | | New piped gas connections during the period - Commercial customers | 1,571 | 1,207 | 30.2% | | Cumulative number of connected piped gas customers - Residential users | 5,297,310 | 5,109,629 | 3.7% | | Cumulative number of connected piped gas customers - Industrial customers | 4,764 | 4,409 | 8.1% | | Cumulative number of connected piped gas customers - Commercial customers | 28,201 | 24,323 | 15.9% | | Penetration rate of residential piped connections | 71.5% | 71.0% | 0.5% | | Piped natural gas sales volume to retail customers - Residential users (Thousand cubic meters) | 442,897 | 466,566 | (5.1)% | | Piped natural gas sales volume to retail customers - Industrial customers (Thousand cubic meters) | 621,303 | 654,231 | (5.0)% | | Piped natural gas sales volume to retail customers - Commercial customers (Thousand cubic meters) | 80,246 | 84,245 | (4.7)% | | Natural gas sales volume to wholesale customers - Piped natural gas (Thousand cubic meters) | 160,999 | 331,808 | (51.5)% | | Natural gas sales volume to wholesale customers - LNG (Thousand cubic meters) | 357,900 | 178,291 | 100.7% | | Total natural gas sales volume (Thousand cubic meters) | 1,663,345 | 1,715,141 | (3.0)% | | Vehicle natural gas sales volume (Thousand cubic meters) | 24,728 | 23,278 | 6.2% | | Cumulative number of integrated energy projects in operation | 262 | 216 | 21.3% | | Integrated energy sales volume (Million kWh) | 818 | 1,255 | (34.8)% | [Overall Review and Revenue Analysis](index=18&type=section&id=Overall%20Review%20and%20Revenue%20Analysis) The Group's revenue for the six months ended June 30, 2025, decreased by 9.4% year-on-year, primarily due to lower revenue from gas pipeline construction and smart energy, but profit attributable to owners of the Company increased by 2.7% - Revenue decreased by **9.4%** to **HK$6,575,509 thousand**, primarily due to lower revenue from gas pipeline construction and smart energy[50](index=50&type=chunk)[52](index=52&type=chunk) - Profit attributable to owners of the Company increased by **2.7%** to **HK$245,510 thousand**[50](index=50&type=chunk) Revenue by Product and Service | Product and Service | 2025 (HK$ Thousand) | Share (%) | 2024 (HK$ Thousand) | Share (%) | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Gas sales | 5,619,687 | 85.5% | 5,860,550 | 80.8% | (4.1)% | | Gas pipeline construction | 380,049 | 5.8% | 580,215 | 8.0% | (34.5)% | | Smart energy | 332,361 | 5.0% | 548,680 | 7.6% | (39.4)% | | Value-added services | 151,416 | 2.3% | 169,567 | 2.3% | (10.7)% | | Sales of compressed natural gas/liquefied natural gas at vehicle filling stations | 91,996 | 1.4% | 96,078 | 1.3% | (4.2)% | | **Total** | **6,575,509** | **100%** | **7,255,090** | **100%** | **(9.4)%** | [Gas Sales](index=19&type=section&id=Gas%20Sales) Gas sales decreased by 4.1% year-on-year, mainly impacted by RMB depreciation against HKD, with declines in industrial, residential, and commercial sales, but growth in wholesale gas sales driven by a doubling of LNG sales volume Gas Sales by Customer Type | Customer Type | 2025 (HK$ Thousand) | Share (%) | 2024 (HK$ Thousand) | Share (%) | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Industrial customers | 2,383,814 | 42.4% | 2,609,084 | 44.5% | (8.6)% | | Residential users | 1,276,873 | 22.7% | 1,367,314 | 23.3% | (6.6)% | | Commercial customers | 339,315 | 6.1% | 367,219 | 6.3% | (7.6)% | | Wholesale customers | 1,619,685 | 28.8% | 1,516,933 | 25.9% | 6.8% | | **Total** | **5,619,687** | **100%** | **5,860,550** | **100%** | **(4.1)%** | - Gas sales accounted for **85.5%** of the Group's total revenue, serving as the primary source[53](index=53&type=chunk) - Gas sales revenue in RMB terms decreased by **2.7%**, with a further reduction in HKD terms mainly due to the depreciation of RMB against HKD[53](index=53&type=chunk) [Industrial Customers](index=19&type=section&id=Industrial%20Customers) Industrial customer gas sales decreased by 8.6% year-on-year, primarily due to RMB depreciation, lower gas consumption, and reduced average selling prices, yet it remains the main source of gas sales - Industrial customer gas sales decreased by **8.6%** to **HK$2,383,814 thousand**, primarily due to RMB depreciation, a **5.0%** decrease in gas consumption, and a **2.5%** reduction in average selling price[54](index=54&type=chunk) - The Group added **186 new industrial customers**[54](index=54&type=chunk) - Industrial customer gas sales accounted for **42.4%** of total gas sales, remaining the primary source[55](index=55&type=chunk) [Residential Users](index=20&type=section&id=Residential%20Users) Residential user gas sales decreased by 6.6% year-on-year, affected by RMB depreciation and lower gas consumption, but maintained stability due to ongoing pipeline connections and clean energy heating promotion - Residential user gas sales decreased by **6.6%** to **HK$1,276,873 thousand**, primarily due to RMB depreciation and a **5.1%** decrease in gas consumption[56](index=56&type=chunk) - The Group added **105,560 new residential user connections**[56](index=56&type=chunk) - The average selling price of natural gas to residential customers slightly decreased by **0.4%**[56](index=56&type=chunk) [Commercial Customers](index=20&type=section&id=Commercial%20Customers) Commercial customer gas sales decreased by 7.6% year-on-year, primarily due to RMB depreciation, reduced market demand, and lower gas consumption, despite an increase in the number of commercial customers - Commercial customer gas sales decreased by **7.6%** to **HK$339,315 thousand**, primarily due to RMB depreciation, a **4.7%** decrease in gas consumption, and a **1.8%** reduction in average selling price[57](index=57&type=chunk) - The Group added **1,571 new commercial customers**, resulting in a **5.9%** increase in the number of commercial customers[57](index=57&type=chunk) - Demand for gas from restaurants, schools, and entertainment facilities decreased[57](index=57&type=chunk) [Wholesale Customers](index=20&type=section&id=Wholesale%20Customers) Wholesale customer gas sales increased by 6.8% year-on-year, mainly driven by a doubling of LNG sales volume, which offset the decline in piped natural gas sales volume - Wholesale customer gas sales increased by **6.8%** to **HK$1,619,685 thousand**, with sales revenue in RMB terms growing by **8.3%**[58](index=58&type=chunk) - Piped natural gas consumption decreased by **51.5%**, but the average selling price increased by **0.8%**[59](index=59&type=chunk) - LNG sales volume increased by **100.7%** to **357,900 thousand cubic meters**, but the average selling price decreased by **1.6%** due to lower international LNG prices[59](index=59&type=chunk) [Gas Pipeline Construction](index=21&type=section&id=Gas%20Pipeline%20Construction) Gas pipeline construction revenue significantly decreased by 34.5% year-on-year, primarily due to RMB depreciation and a weak domestic real estate market, leading to a substantial drop in residential user connection projects, despite an increase in average connection fees - Gas pipeline construction revenue was **HK$380,049 thousand**, a year-on-year decrease of **34.5%**[60](index=60&type=chunk) - The decline in revenue was mainly due to the depreciation of RMB against HKD and the weak performance of the domestic real estate industry[60](index=60&type=chunk) Gas Pipeline Construction Revenue by Customer Type | Customer Type | 2025 (HK$ Thousand) | Share (%) | 2024 (HK$ Thousand) | Share (%) | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Residential users | 319,804 | 84.1% | 511,051 | 88.1% | (37.4)% | | Non-residential customers | 60,245 | 15.9% | 69,164 | 11.9% | (12.9)% | | **Total** | **380,049** | **100%** | **580,215** | **100%** | **(34.5)%** | - Residential user gas pipeline construction revenue decreased by **37.4%**, mainly due to a reduction in completed connection projects from **171,112** to **105,560**, though the average connection fee increased from RMB2,712 to RMB2,790[63](index=63&type=chunk) - The gross profit margin for gas pipeline construction remained stable at **75.7%**[64](index=64&type=chunk) - The residential pipeline connection penetration rate was **71.5%**, and the Group will continue to increase market coverage through acquisitions[64](index=64&type=chunk) [Smart Energy](index=22&type=section&id=Smart%20Energy) Smart energy revenue decreased by 39.4% year-on-year, but the Group is actively expanding new business networks such as natural gas distributed energy, photovoltaic power generation, incremental distribution networks, and charging stations to meet diverse customer energy demands - Smart energy revenue was **HK$332,361 thousand**, a year-on-year decrease of **39.4%**[65](index=65&type=chunk) - The Group is leveraging its gas project market and customer base to establish a broad network of new businesses, including natural gas distributed energy, photovoltaic power generation, incremental distribution networks, and charging stations[65](index=65&type=chunk) - Smart energy business accounted for **5.0%** of total revenue, and the Group will continue to explore operating models and expand energy projects[65](index=65&type=chunk) [Value-Added Services](index=23&type=section&id=Value-Added%20Services) Value-added services revenue decreased by 10.7% year-on-year, mainly due to a decline in pipeline modification services and sales of corrugated pipes and alarms, though sales of stoves and other related services (excluding pipeline modification) increased by 7.3% in RMB terms - Value-added services revenue was **HK$151,416 thousand**, a year-on-year decrease of **10.7%**, primarily impacted by RMB depreciation[66](index=66&type=chunk) - The decrease in revenue was mainly due to a **37.8%** reduction in pipeline modification services and sales of corrugated pipes and alarms, from HK$64,211 thousand to **HK$39,958 thousand**[66](index=66&type=chunk) - Sales of stoves and other related services (excluding pipeline modification, etc.) increased by **7.3%** in RMB terms[66](index=66&type=chunk) - The Group is actively developing its own brand "Zhongyu Phoenix" gas water heaters, cooking appliances, and wall-mounted boilers, and expanding its market through online shopping platforms like "Zhongyu iHome"[66](index=66&type=chunk) [Sales of Compressed Natural Gas/Liquefied Natural Gas at Vehicle Filling Stations](index=23&type=section&id=Sales%20of%20Compressed%20Natural%20Gas%2FLiquefied%20Natural%20Gas%20at%20Vehicle%20Filling%20Stations) Revenue from vehicle filling stations decreased by 4.2% year-on-year, primarily due to RMB depreciation and lower average selling prices, despite an increase in vehicle natural gas sales volume. The Group owns 56 operational and 7 under-construction filling stations - Revenue from vehicle filling stations was **HK$91,996 thousand**, a year-on-year decrease of **4.2%**, primarily impacted by RMB depreciation[67](index=67&type=chunk) - Natural gas sales to vehicles increased by **6.2%** to **24,728 thousand cubic meters**, but the average selling price decreased by **8.5%** to RMB3.43 per cubic meter[67](index=67&type=chunk) - The Group operates **56** compressed natural gas/liquefied natural gas vehicle filling stations and has **7** under construction[67](index=67&type=chunk) [Gross Profit Margin](index=24&type=section&id=Gross%20Profit%20Margin) The overall gross profit margin for the period was 12.0%, a year-on-year decrease, mainly due to a reduced gross profit margin from sales of compressed natural gas/liquefied natural gas at vehicle filling stations - The overall gross profit margin was **12.0%** (2024: 14.0%), with the decrease primarily due to a reduction in the gross profit margin from sales of compressed natural gas/liquefied natural gas at vehicle filling stations[68](index=68&type=chunk)[69](index=69&type=chunk) - The gross profit margin for piped natural gas sales remained stable at **7.6%**[69](index=69&type=chunk) - The gross profit margin for gas pipeline construction remained stable at **75.7%**[69](index=69&type=chunk) - The smart energy gross profit margin increased to **14.4%** (2024: 10.2%), mainly due to the rapid development of integrated energy business and improved management operations[69](index=69&type=chunk) - The value-added services gross profit margin increased to **88.2%** (2024: 80.2%), primarily due to increased gross profit margins from sales of self-closing valves, corrugated pipes, and alarms, as well as the higher gross profit margin of newly launched gas pipeline beautification services[69](index=69&type=chunk) - The gross profit margin for sales of compressed natural gas/liquefied natural gas at vehicle filling stations was **1.1%** (2024: 2.8%), as the decrease in average selling price exceeded the decrease in procurement costs[69](index=69&type=chunk) [Other Income and Losses (Details)](index=24&type=section&id=Other%20Income%20and%20Losses%20(Details)) The Group recognized net other income of HK$123,142 thousand during the review period, primarily from foreign exchange gains due to RMB appreciation - The Group recognized net other income of **HK$123,142 thousand** during the review period (2024: net other losses of HK$57,746 thousand)[70](index=70&type=chunk) - This primarily stemmed from a net foreign exchange gain of **HK$12,756 thousand** (2024: net foreign exchange loss of HK$57,176 thousand), mainly due to the appreciation of the Renminbi as of June 30, 2025[70](index=70&type=chunk) [Selling and Distribution Costs and Administrative Expenses](index=24&type=section&id=Selling%20and%20Distribution%20Costs%20and%20Administrative%20Expenses) Selling and distribution costs decreased by 12.8% year-on-year due to lower salaries from reduced value-added services, while administrative expenses increased by 6.9% due to higher professional fees and insurance expenses - Selling and distribution costs decreased by **12.8%** to **HK$104,445 thousand**, primarily due to lower salaries resulting from a decrease in value-added services[71](index=71&type=chunk) - Administrative expenses increased by **6.9%** to **HK$297,674 thousand**, mainly due to higher professional fees and insurance expenses[71](index=71&type=chunk) [Finance Costs (Details)](index=24&type=section&id=Finance%20Costs%20(Details)) Finance costs for the six months ended June 30, 2025, decreased by 24.8% year-on-year, primarily due to a reduction in effective interest rates - Finance costs decreased by **24.8%** to **HK$208,493 thousand**, primarily due to a reduction in effective interest rates[72](index=72&type=chunk) [Income Tax Expense (Details)](index=25&type=section&id=Income%20Tax%20Expense%20(Details)) Income tax expense for the six months ended June 30, 2025, increased by 3.5% year-on-year, mainly due to an increase in the Group's effective tax rate - Income tax expense increased by **3.5%** to **HK$152,427 thousand**, primarily due to an increase in the Group's effective tax rate[73](index=73&type=chunk) [Profit Attributable to Owners of the Company](index=25&type=section&id=Profit%20Attributable%20to%20Owners%20of%20the%20Company) Profit attributable to owners of the Company for the six months ended June 30, 2025, increased by 2.7% compared to the same period last year - Profit attributable to owners of the Company was **HK$245,510 thousand**, an increase of **2.7%** compared to the same period last year[74](index=74&type=chunk) [Net Profit Margin](index=25&type=section&id=Net%20Profit%20Margin) The net profit margin for the six months ended June 30, 2025, improved to 3.7% compared to the prior year Net Profit Margin | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Net profit margin | 3.7% | 3.3% | [Earnings Per Share (Details)](index=25&type=section&id=Earnings%20Per%20Share%20(Details)) Basic and diluted earnings per share attributable to owners of the Company for the six months ended June 30, 2025, both increased compared to the prior year Earnings Per Share | Indicator | 2025 (HK cents) | 2024 (HK cents) | | :--- | :--- | :--- | | Basic earnings per share | 8.89 | 8.57 | | Diluted earnings per share | 8.89 | 8.57 | [Net Asset Value Per Share](index=25&type=section&id=Net%20Asset%20Value%20Per%20Share) Net asset value per share attributable to owners of the Company as of June 30, 2025, increased by 4.1% compared to December 31, 2024 Net Asset Value Per Share | Indicator | June 30, 2025 (HK$) | December 31, 2024 (HK$) | | :--- | :--- | :--- | | Net asset value per share | 2.77 | 2.66 | [Outlook](index=25&type=section&id=Outlook) Facing global economic slowdown and domestic real estate challenges, the Group focuses on its core city gas business, expanding smart energy, enhancing refined management, optimizing financing costs, driving business innovation, exploring carbon asset management, and deepening digital transformation, while strengthening ESG governance for long-term sustainable development - The global economic recovery is slowing, Sino-US tariffs are restrictive, and the sluggish real estate sector is dragging down the domestic industrial economy[78](index=78&type=chunk) - The Group adheres to a "back to basics" approach, focusing on its core city gas business to consolidate its foundation, breaking industry constraints through smart energy expansion, and mitigating external risks with refined management[78](index=78&type=chunk) - In the first half, there were zero major production safety accidents, and debt costs were significantly reduced through capital structure adjustments[79](index=79&type=chunk) - In the second half, the Group will continue to focus on stable operations, strengthen the rectification of major hidden dangers, enhance emergency response capabilities, and continuously optimize financing costs[79](index=79&type=chunk) - The urban gas business will further drive business innovation, expand commercial and agricultural project development, and in value-added services, focus on gas pipeline beautification and insurance, and expand the external market for its own brand kitchen appliance sub-products[79](index=79&type=chunk) - In energy trading, the Group successfully opened international LNG trade channels and will continue to explore new windows of opportunity for more international business cooperation[79](index=79&type=chunk) - The smart energy business will focus on biomass energy utilization, coupled with photovoltaics, wind power, heat pumps, energy storage, and waste heat, to provide zero-carbon park construction solutions and explore carbon asset management[80](index=80&type=chunk) - In terms of information technology, the Group will continue to enhance its digital system construction, focusing on upgrading and reconstructing core business application systems in the second half, empowering digital and intelligent transformation through Artificial Intelligence (AI) technology[81](index=81&type=chunk) - Regarding ESG, the Group will intensify governance risk identification, promote green finance cooperation, strengthen precise alignment of funds with low-carbon projects, and transform ESG concepts into a shared consensus and conscious action among all employees[81](index=81&type=chunk) - In the future, the Group will adhere to the "dual-driven, integrated development" business strategy, enhancing efficiency through organizational optimization, reducing costs and increasing efficiency through refined management, and empowering development through digital and intelligent transformation to achieve long-term sustainable growth[81](index=81&type=chunk) [Corporate Governance and Other Information](index=28&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section outlines the Company's corporate governance practices, including directors' and substantial shareholders' interests, compliance with governance codes, and the role of the Audit Committee [(a) Directors' Interests](index=28&type=section&id=%28a%29%20Directors%27%20Interests) As of June 30, 2025, several directors held interests in the Company's shares or related shares, with Mr. Wang Wenliang and his spouse, Ms. Feng Haiyan, collectively holding approximately 29.12% of the equity Directors' Long Positions in the Company's Shares and/or Related Shares | Director Name | Number of Shares and/or Related Shares | Nature of Interest | Approximate Shareholding (%) | | :--- | :--- | :--- | :--- | | Mr. Wang Wenliang | 800,225,206 | Beneficial interest/Interest in controlled corporation/Spouse's interest | 29.12% | | Mr. Yao Zhisheng | 188,000,000 | Interest in controlled corporation | 6.84% | | Mr. Lü Xiaoqiang | 19,002,179 | Beneficial interest | 0.69% | | Mr. Jia Kun | 7,055,031 | Beneficial interest | 0.26% | | Mr. Peng Jun | 396,000 | Beneficial interest | 0.01% | | Mr. Li Chunyan | 1,510,761 | Beneficial interest | 0.05% | | Ms. Liu Yujie | 502,900 | Beneficial interest | 0.02% | - Mr. Wang Wenliang beneficially owns a **51%** interest through Harmony Investment Holdings Limited and directly holds a portion of shares, while his spouse, Ms. Feng Haiyan, also directly holds a portion of shares[85](index=85&type=chunk) - The interests of Mr. Lü Xiaoqiang and Mr. Li Chunyan include related shares issuable under the share option scheme[85](index=85&type=chunk) [(b) Substantial Shareholders' Interests in the Company](index=30&type=section&id=%28b%29%20Substantial%20Shareholders%27%20Interests%20in%20the%20Company) As of June 30, 2025, China Gas Holdings Limited was the Company's largest substantial shareholder, holding 37.49% of the equity, with Harmony Investment Holdings Limited and Ms. Feng Haiyan also holding significant stakes Substantial Shareholders' Long Positions in the Company's Shares | Shareholder Name | Nature of Interest | Number of Shares | Approximate Shareholding (%) | | :--- | :--- | :--- | :--- | | China Gas Holdings Limited | Interest in controlled corporation | 1,030,402,000 | 37.49% | | Harmony Investment Holdings Limited | Beneficial interest | 767,962,289 | 27.94% | | Ms. Feng Haiyan | Beneficial interest/Interest in controlled corporation/Spouse's interest | 800,225,206 | 29.12% | | Huizi International Investment Limited | Beneficial interest | 188,000,000 | 6.84% | - China Gas Holdings Limited holds shares through its wholly-owned subsidiary, Rich Legend International Limited[87](index=87&type=chunk) - Ms. Feng Haiyan's interests include shares directly held by her and interests deemed to be held by Harmony Investment Holdings Limited and Mr. Wang Wenliang[87](index=87&type=chunk) [Corporate Governance Code](index=31&type=section&id=Corporate%20Governance%20Code) The Company has adopted and complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 Part 2 of the Listing Rules - The Company has adopted and complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 Part 2 of the Listing Rules[89](index=89&type=chunk) [Standard of Dealings in Securities by Directors](index=31&type=section&id=Standard%20of%20Dealings%20in%20Securities%20by%20Directors) The Company has adopted and complied with the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules, with all directors confirming compliance - The Company has adopted and complied with the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules as its code of conduct for directors' securities transactions[90](index=90&type=chunk) - All directors have confirmed their compliance with the required dealing standards and the Model Code[90](index=90&type=chunk) [Audit Committee](index=31&type=section&id=Audit%20Committee) The Company's Audit Committee has reviewed the Group's accounting principles, practices, and financial reporting matters with management, including the interim results, with no internal disagreements on accounting treatments - The Audit Committee comprises independent non-executive directors Mr. Li Chunyan, Dr. Liu Ke, and Ms. Liu Yujie[91](index=91&type=chunk) - The Audit Committee has reviewed the Group's accounting principles and practices and financial reporting matters with management, including the interim results[91](index=91&type=chunk) - There were no disagreements within the Audit Committee regarding the accounting treatments adopted by the Company[91](index=91&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=32&type=section&id=Purchase,%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) During the period ended June 30, 2025, the Company repurchased 29,390,000 shares on the Stock Exchange for a total consideration of HK$126,103,560, aiming to enhance net asset value per share and earnings per share - During the period ended June 30, 2025, the Company repurchased **29,390,000 shares** on the Stock Exchange for a total consideration of **HK$126,103,560**[92](index=92&type=chunk) - The share repurchases were aimed at enhancing the Company's net asset value per share and earnings per share[92](index=92&type=chunk) Share Repurchase Details | Month of Repurchase | Total Shares Repurchased | Repurchase Price Per Share (HK$) - Lowest | Repurchase Price Per Share (HK$) - Highest | Total Consideration (HK$) | | :--- | :--- | :--- | :--- | :--- | | January 2025 | 5,900,000 | 4.33 | 4.56 | 26,326,290 | | March 2025 | 1,500,000 | 4.14 | 4.29 | 6,363,790 | | April 2025 | 19,990,000 | 3.95 | 4.46 | 84,790,940 | | May 2025 | 2,000,000 | 4.28 | 4.34 | 8,622,540 | - The repurchased shares were cancelled on March 19, 2025, and June 20, 2025[92](index=92&type=chunk) [Publication of Information on the HKEX and the Company's Website](index=32&type=section&id=Publication%20of%20Information%20on%20the%20HKEX%20and%20the%20Company%27s%20Website) This announcement has been published on the HKEX and the Company's website, with the interim report to be published in September 2025 - This announcement has been published on the HKEX website www.hkex.com.hk and the Company's website www.zhongyuenergy.com[93](index=93&type=chunk) - The Company's interim report for the six months ended June 30, 2025, will be published on the HKEX and the Company's website in September 2025[93](index=93&type=chunk) [Board of Directors](index=32&type=section&id=Board%20of%20Directors) The Company's Board of Directors comprises six executive directors, including Mr. Wang Wenliang (Chairman), and three independent non-executive directors, including Mr. Li Chunyan - The Board of Directors includes executive directors Mr. Wang Wenliang (Chairman), Mr. Yao Zhisheng (Vice Chairman), Mr. Lü Xiaoqiang (Chief Executive Officer), Mr. Jia Kun (Executive President), Mr. Peng Jun, and Mr. Wang Jichao[94](index=94&type=chunk) - Independent non-executive directors include Mr. Li Chunyan, Dr. Liu Ke, and Ms. Liu Yujie[94](index=94&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何 部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 SHENWAN HONGYUAN (H.K.) LIMITED 申萬宏源（香港）有限公司 於 香 港 註 冊 成 立 之 有 限 公 司 ） （股份代號：218） 截至二零二五年六月三十日止六個月之中期業績 申萬宏源（香港）有限公司（「本公司」）之董事局（「董事局」）欣然公佈，本公司及其 附屬公司（「本集團」）截至二零二五年六月三十日止六個月之未經審核簡明綜合業績 連同上年度同期之比較數字。 簡明綜合損益表 | | | 截至六月三十日止六個月 | | | --- | --- | --- | --- | | | | 二零二五年 | 二零二四年 | | | | （未經審核） | （未經審核） | | | 附註 | 千港元 | 千港元 | | 收入 | 3 | 306,540 | 146,216 | | — 使用實際利率法計算之利息收入 | | 104,766 | 73,970 | | — 於香港財務報告準則 ...

[Financial and Operating Summary](index=4&type=section&id=%E8%B2%A1%E5%8B%99%E5%8F%8A%E7%87%9F%E6%A5%AD%E6%91%98%E8%A6%81) This section provides a concise overview of the Group's financial performance, operating statistics, and fleet information for the first half of 2025 [Group Financial Statistics](index=4&type=section&id=%E9%9B%86%E5%9C%98%E8%B2%A1%E5%8B%99%E7%B5%B1%E8%A8%88%E6%95%B8%E5%AD%97) For the six months ended June 30, 2025, Cathay Group reported robust financial performance with a 9.5% increase in revenue and a slight 1.1% rise in profit attributable to shareholders 2025 First Half Key Financial Results | Metric | 2025 First Half | 2024 First Half | Change | | :--- | :--- | :--- | :--- | | **Revenue** | HKD 54.309 billion | HKD 49.604 billion | +9.5% | | **Profit Attributable to Cathay Group Shareholders** | HKD 3.651 billion | HKD 3.613 billion | +1.1% | | **Earnings Per Ordinary Share (Basic)** | 56.7 HK cents | 52.4 HK cents | +8.2% | | **Dividend Per Ordinary Share** | 20 HK cents | 20 HK cents | – | 2025 June 30 Key Financial Position | Metric | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Funds Attributable to Cathay Group Shareholders** | HKD 51.654 billion | HKD 52.500 billion | -1.6% | | **Net Borrowings** | HKD 56.342 billion | HKD 57.941 billion | -2.8% | | **Available Unrestricted Liquidity** | HKD 21.504 billion | HKD 19.073 billion | +12.7% | | **Net Debt to Equity Ratio** | 1.09 times | 1.10 times | -0.01 times | [Operating Statistics](index=4&type=section&id=%E7%87%9F%E6%A5%AD%E7%B5%B1%E8%A8%88%E6%95%B8%E5%AD%97) In the first half of 2025, the Group's overall capacity (Available Tonne Kilometers) increased by 15.9% year-on-year, with Cathay Pacific's passenger load factor improving to 84.8% - Cathay Pacific's passenger numbers increased by **27.8%** year-on-year to **13.627 million**, with the passenger load factor rising from 82.4% to **84.8%**[10](index=10&type=chunk) - Cathay Cargo's carried cargo volume increased by **11.4%** year-on-year to **801 thousand tonnes**, though the cargo load factor slightly decreased from 59.9% to **58.6%**[10](index=10&type=chunk) - HK Express's passenger numbers increased by **33.5%** year-on-year to **3.791 million**, but the passenger load factor declined from 85.0% to **78.9%**[10](index=10&type=chunk) [Fleet Information](index=5&type=section&id=%E6%A9%9F%E9%9A%8A%E8%B3%87%E6%96%99) As of June 30, 2025, Cathay Group operated a total of 234 aircraft and had 93 new aircraft on order, demonstrating its commitment to future fleet expansion Group Fleet Size and Orders (as of June 30, 2025) | Airline | Aircraft in Operation | Aircraft on Order | | :--- | :--- | :--- | | Cathay Pacific | 179 | 71 | | HK Express | 41 | 22 | | Air Hong Kong | 14 | 0 | | **Group Total** | **234** | **93** | - The 93 new aircraft on order include **30 A330-900s**, **21 777-9 passenger aircraft**, and **6 A350F cargo aircraft**, aimed at fleet modernization and efficiency enhancement[12](index=12&type=chunk) [Chairman's Letter](index=6&type=section&id=%E4%B8%BB%E5%B8%AD%E8%87%B4%E5%87%BD) This section outlines the Group's performance, key business segment results, and future outlook, highlighting strategic investments and market confidence [Cathay Group Performance](index=6&type=section&id=%E5%9C%8B%E6%B3%B0%E9%9B%86%E5%9C%98%E7%9A%84%E8%A1%A8%E7%8F%BE) In the first half of 2025, Cathay Group reported a slight year-on-year increase in profit attributable to shareholders, driven by increased passenger volumes, stable cargo performance, and lower fuel prices 2025 First Half Performance Overview | Metric | Amount | Year-on-Year Change | | :--- | :--- | :--- | | Profit Attributable | HKD 3.651 billion | +1.1% | | Earnings Per Ordinary Share | 56.7 HK cents | +8.2% | | Interim Dividend | 20 HK cents per share | Flat | - The Group repurchased convertible bonds worth **HKD 4.558 billion** in January 2025, representing approximately **68%** of the total issued amount[16](index=16&type=chunk) - As of June 30, 2025, the Group's available unrestricted liquidity balance was **HKD 21.504 billion**[16](index=16&type=chunk) [Performance of the Four Core Businesses](index=6&type=section&id=%E5%9B%9B%E5%A4%A7%E6%A5%AD%E5%8B%99%E7%9A%84%E8%A1%A8%E7%8F%BE) Cathay Pacific's passenger revenue grew by 14.0%, while Cathay Cargo's revenue increased by 2.2%, demonstrating resilience, though HK Express recorded a pre-tax loss due to market factors - Cathay Pacific's passenger revenue was **HKD 34.208 billion**, a **14.0%** year-on-year increase, carrying **13.6 million passengers**, up **27.8%** year-on-year[17](index=17&type=chunk) - Cathay Cargo's revenue was **HKD 11.141 billion**, a **2.2%** year-on-year increase, showcasing business adaptability[18](index=18&type=chunk) - HK Express recorded a pre-tax loss of **HKD 524 million**, compared to a profit of HKD 66 million in the same period last year, primarily due to a temporary slowdown in Japan travel demand and new routes still maturing[19](index=19&type=chunk) [Performance of Subsidiaries and Associates](index=7&type=section&id=%E9%99%84%E5%B1%AC%E5%85%AC%E5%8F%B8%E5%8F%8A%E8%81%AF%E5%B1%AC%E5%85%AC%E5%8F%B8%E7%9A%84%E6%A5%AD%E5%8B%99%E8%A1%A8%E7%8F%BE) Air Hong Kong maintained stable performance, while subsidiaries providing services to airlines saw improved results, and associate companies like Air China also showed better performance - Air Hong Kong recorded a pre-tax profit of **HKD 474 million**, largely stable compared to HKD 488 million in the same period last year, maintaining robust performance[20](index=20&type=chunk) - Associate companies' performance improved, mainly benefiting from Air China's enhanced revenue management and cost control, as well as Air Cargo's business expansion[20](index=20&type=chunk) [Outlook](index=7&type=section&id=%E5%89%8D%E6%99%AF) The Group expresses confidence in the future, investing over HKD 100 billion in its fleet, products, and digital innovation, with strong travel demand for Cathay Pacific and expected long-term profitability for HK Express - The Group is investing over **HKD 100 billion** in its fleet, cabins, lounges, and digital innovation, reaffirming its commitment to the Hong Kong International Aviation Hub[21](index=21&type=chunk) - HK Express faces short-term challenges, but flight bookings to Japan have rebounded, and new routes, despite needing time to develop, have shown enthusiastic initial responses, with long-term profitability expected[21](index=21&type=chunk) [Business Review](index=9&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) This section provides a detailed review of Cathay Pacific, Cathay Cargo, Lifestyle business, and the performance of key subsidiaries and associates, alongside the Group's strategic leadership directions [Cathay Pacific](index=9&type=section&id=%E5%9C%8B%E6%B3%B0%E8%88%AA%E7%A9%BA) In the first half of 2025, Cathay Pacific's passenger business continued its recovery, with revenue increasing by 14.0% and passenger load factor improving to 84.8% Cathay Pacific 2025 First Half Passenger Performance | Metric | 2025 First Half | Year-on-Year Change | | :--- | :--- | :--- | | Passenger Revenue | HKD 34.208 billion | +14.0% | | Available Seat Kilometers (ASK) | 66.792 billion | +26.3% | | Revenue Passenger Kilometers (RPK) | 56.651 billion | +30.0% | | Passengers Carried | 13.6 million | +27.8% | | Passenger Load Factor | 84.8% | +2.4 percentage points | | Passenger Yield | 60.4 HK cents | -12.3% | - The company launched passenger services to Hyderabad, Dallas Fort Worth, Urumqi, Rome, and Munich, and increased frequencies on other routes across its global network[24](index=24&type=chunk) - Awarded among the **top three best airlines globally** by Skytrax, also receiving accolades for "World's Best Economy Class" and "World's Best Inflight Entertainment"[14](index=14&type=chunk)[36](index=36&type=chunk) [Cathay Cargo](index=12&type=section&id=%E5%9C%8B%E6%B3%B0%E8%B2%A8%E9%81%8B) In the first half of 2025, Cathay Cargo's revenue reached HKD 11.141 billion, a 2.2% increase, demonstrating resilience despite market uncertainties like tariff changes Cathay Cargo 2025 First Half Performance | Metric | 2025 First Half | Year-on-Year Change | | :--- | :--- | :--- | | Cargo Revenue | HKD 11.141 billion | +2.2% | | Available Freight Tonne Kilometers (AFTK) | 7.336 billion | +8.1% | | Cargo Carried | 801 thousand tonnes | +11.4% | | Cargo Load Factor | 58.6% | -1.3 percentage points | | Cargo Yield | HKD 2.59 | -3.4% | - Despite the impact of increased US tariffs and the removal of de minimis exemptions on e-commerce demand, the company offset some negative effects by increasing other cargo shipments[42](index=42&type=chunk) - Awarded "Cargo Operator of the Year" by Air Transport World (ATW), recognizing its outstanding operational performance[57](index=57&type=chunk) [Lifestyle](index=15&type=section&id=%E7%94%9F%E6%B4%BB%E5%93%81%E5%91%B3) Cathay's Lifestyle business continued to grow in the first half of 2025, with increasing active membership and expanded product offerings across miles, hotels, retail, and experiences - Active Cathay membership continues to grow, with brand awareness and member engagement enhanced through initiatives like the "Cathay Member Premium Awards"[59](index=59&type=chunk) - Joint credit card partnerships with Standard Chartered Bank performed well in Asia Pacific, with re-launches in the US and Macau, while collaborations with fintech companies Mox Bank and Neo Financial helped acquire new customer segments[61](index=61&type=chunk)[63](index=63&type=chunk) - The "Miles Rewards" program expanded to **89 partner brands** and launched a global online shopping platform, "Miles Rewards Hub"; Cathay Holidays hotel platform expanded into four new markets[64](index=64&type=chunk)[65](index=65&type=chunk) - Successfully built in-house retail media sales capabilities, reducing reliance on agencies, and secured comprehensive media partnerships with premium brands like The Macallan[71](index=71&type=chunk)[76](index=76&type=chunk) [Performance and Business Review of Key Subsidiaries and Associates](index=17&type=section&id=%E9%87%8D%E8%A6%81%E9%99%84%E5%B1%AC%E5%8F%8A%E8%81%AF%E5%B1%AC%E5%85%AC%E5%8F%B8%E7%9A%84%E8%A1%A8%E7%8F%BE%E5%8F%8A%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) The Group's subsidiaries and associates showed varied performance in the first half of 2025, with HK Express recording a loss due to market factors, while Air Hong Kong and aviation service providers improved [HK Express Airways Limited](index=17&type=section&id=%E9%A6%99%E6%B8%AF%E5%BF%AB%E9%81%8B%E8%88%AA%E7%A9%BA%E6%9C%89%E9%99%90%E5%85%AC%E5%8F%B8) HK Express expanded aggressively in the first half of 2025, launching nine new routes, but recorded a pre-tax loss of HKD 524 million due to factors like a temporary slowdown in Japan travel demand HK Express 2025 First Half Operating Results | Metric | Amount (HKD million) | Year-on-Year Change | | :--- | :--- | :--- | | Total Revenue | 3,171 | -0.1% | | Operating Expenses | (3,695) | +18.8% | | **(Loss)/Profit Before Net Finance Costs and Tax** | **(524)** | **-893.9%** | - Launched nine new routes in the first half, including Sendai, Ishigaki, Changzhou, and Cheongju, continuously expanding its Asian route network[71](index=71&type=chunk)[73](index=73&type=chunk) [Air Hong Kong Limited](index=19&type=section&id=%E9%A6%99%E6%B8%AF%E8%8F%AF%E6%B0%91%E8%88%AA%E7%A9%BA%E6%9C%89%E9%99%90%E5%85%AC%E5%8F%B8) Air Hong Kong, primarily operating express cargo services for DHL Express, maintained stable performance in the first half of 2025, completing its fleet modernization to more fuel-efficient A330F freighters - Air Hong Kong's profit in the first half of 2025 was comparable to the same period in 2024, maintaining stable performance[84](index=84&type=chunk) - Completed its fleet modernization program, replacing A300-600F freighters with larger, more fuel-efficient A330F freighters[84](index=84&type=chunk) [Major Subsidiaries Providing Services to Airlines](index=19&type=section&id=%E7%82%BA%E8%88%AA%E7%A9%BA%E5%85%AC%E5%8F%B8%E6%8F%90%E4%BE%9B%E6%9C%8D%E5%8B%99%E7%9A%84%E9%87%8D%E5%A4%A7%E9%99%84%E5%B1%AC%E5%85%AC%E5%8F%B8) As the aviation market recovered, subsidiaries providing services to airlines saw improved performance, including Cathay Pacific Catering, Cathay Pacific Cargo Terminal, and Hong Kong Airport Services - Cathay Pacific Catering: Produced **14.1 million inflight meals** in the first half, a **27%** year-on-year increase[82](index=82&type=chunk) - Cathay Pacific Cargo Terminal: Handled **795 thousand tonnes of cargo** in the first half, an **8%** year-on-year increase[85](index=85&type=chunk) - Hong Kong Airport Services: Handled **22.3%** more flights (ramp operations) and **26.5%** more flights (ground handling operations) year-on-year in the first half[87](index=87&type=chunk) [Major Associate Companies](index=20&type=section&id=%E9%87%8D%E5%A4%A7%E8%81%AF%E5%B1%AC%E5%85%AC%E5%8F%B8) The Group's share of results from major associate companies improved, with Air China and Air Cargo showing better financial performance due to enhanced revenue management and business expansion - The Group's share of Air China's results improved; as of June 30, 2025, the net book value of the Group's investment in Air China was **HKD 9.936 billion**[88](index=88&type=chunk) - The Group's share of Air Cargo's results improved; the Group's shareholding was diluted from 21.36% to **21.01%** due to Air Cargo's exercise of its over-allotment option[88](index=88&type=chunk)[89](index=89&type=chunk)[93](index=93&type=chunk) [Our Leadership Directions](index=21&type=section&id=%E6%88%91%E5%80%91%E7%9A%84%E9%A0%98%E5%B0%8E%E6%96%B9%E5%90%91) Cathay's corporate strategy is centered on three leadership directions: safety and operational excellence, transformation into a digital pioneer, and leadership in sustainability - Cathay's three leadership directions form a crucial part of its corporate strategy: safety and operational excellence, transformation into a digital pioneer, and leadership in sustainability[91](index=91&type=chunk) [Safety and Operational Excellence](index=21&type=section&id=%E5%AE%89%E5%85%A8%E5%8F%8A%E5%8D%93%E8%B6%8A%E7%87%9F%E9%81%8B) Cathay prioritizes safety as the foundation of its success, maintaining a strong safety culture through a structured Safety Management System and leadership commitment - The company prioritizes safety, systematically ensuring the highest safety standards through a structured Safety Management System (SMS), and successfully passed the IATA Operational Safety Audit (IOSA) certification[92](index=92&type=chunk)[93](index=93&type=chunk)[94](index=94&type=chunk) - To prepare for the three-runway system, the company utilizes digital tools and an integrated operations center, improving flight punctuality by **4.7 percentage points** compared to the same period last year[97](index=97&type=chunk) [Digital Initiatives](index=22&type=section&id=%E6%95%B8%E7%A2%BC%E5%B7%A5%E4%BD%9C) Cathay is committed to transforming into a digital pioneer, investing over HKD 3 billion annually in technology R&D and making significant progress in data analytics, AI, cybersecurity, and digital talent development - Annually invests over **HKD 3 billion** in technology R&D and digital innovation, having developed over **85 machine learning models** to optimize operations[98](index=98&type=chunk)[102](index=102&type=chunk) - Established a new subsidiary, "Cathay Tech," dedicated to commercializing internally developed digital products (e.g., "Electronic Flight Bag") and collaborating with Hong Kong Science Park to support startups[102](index=102&type=chunk) - Opened a new office in Qianhai, Shenzhen, expanding its digital and IT teams in the Greater Bay Area to capitalize on AI opportunities[100](index=100&type=chunk) [Sustainability](index=23&type=section&id=%E5%8F%AF%E6%8C%81%E7%BA%8C%E7%99%BC%E5%B1%95) Cathay is committed to leadership in sustainability, pledging to achieve net-zero carbon emissions by 2050 and increase Sustainable Aviation Fuel (SAF) usage to 10% by 2030 - Key sustainability commitments include achieving **net-zero carbon emissions by 2050**, **10% SAF usage by 2030**, and significantly reducing single-use plastics[102](index=102&type=chunk) - Signed an agreement with Sinopec to uplift domestically produced SAF for some flights at Hong Kong International Airport and a SAF supply agreement with SK Energy in Korea[106](index=106&type=chunk) - As of June 30, 2025, the Group employed over **32,200 staff globally**, with approximately **27,300** based in Hong Kong[105](index=105&type=chunk) [Financial Review](index=26&type=section&id=%E8%B2%A1%E5%8B%99%E8%A9%95%E8%BF%B0) This section provides a detailed analysis of the Group's revenue, operating expenses, operating results, fuel costs, and financial position for the first half of 2025 [Revenue](index=26&type=section&id=%E6%94%B6%E7%9B%8A) In the first half of 2025, Cathay Group's total revenue increased by 9.5% year-on-year to HKD 54.309 billion, primarily driven by a 12.7% growth in passenger service revenue Cathay Group Revenue Breakdown (Six Months Ended June 30) | Revenue Category | 2025 (HKD million) | 2024 (HKD million) | Change | | :--- | :--- | :--- | :--- | | Passenger Services | 37,212 | 33,004 | +12.7% | | Cargo Services | 12,761 | 12,610 | +1.2% | | Other Services and Recoveries | 4,336 | 3,990 | +8.7% | | **Total Revenue** | **54,309** | **49,604** | **+9.5%** | [Operating Expenses](index=26&type=section&id=%E7%87%9F%E6%A5%AD%E9%96%8B%E6%94%AF) The Group's total operating expenses increased by 10.4% year-on-year to HKD 49.860 billion in the first half, mainly due to higher staff, landing, parking, and en-route charges driven by increased capacity Cathay Group Operating Expense Breakdown (Six Months Ended June 30) | Expense Category | 2025 (HKD million) | 2024 (HKD million) | Change | | :--- | :--- | :--- | :--- | | Staff | 9,382 | 7,770 | +20.7% | | Landing, Parking and En-route Charges | 8,076 | 6,572 | +22.9% | | Fuel (including hedging) | 14,654 | 14,160 | +3.5% | | **Total Operating Expenses** | **49,860** | **45,152** | **+10.4%** | - The company's cost per Available Tonne Kilometer (including fuel) decreased by **4.1%** from HKD 3.42 to **HKD 3.28**[116](index=116&type=chunk) - The company's cost per Available Tonne Kilometer (excluding fuel) decreased by **0.9%** from HKD 2.32 to **HKD 2.30**[117](index=117&type=chunk) [Operating Results Analysis](index=27&type=section&id=%E7%87%9F%E6%A5%AD%E6%A5%AD%E7%B8%BE%E5%88%86%E6%9E%90) In the first half of 2025, the Group's profit attributable to shareholders was HKD 3.651 billion, largely stable year-on-year, with a significant reduction in losses from associate companies contributing positively Operating Results Analysis (Six Months Ended June 30) | Item | 2025 (HKD million) | 2024 (HKD million) | Change | | :--- | :--- | :--- | :--- | | Profit After Tax (excluding non-recurring items) from Company and Subsidiaries | 3,832 | 3,846 | -0.4% | | Share of Losses from Associate Companies | (181) | (342) | -47.1% | | **Profit Attributable to Group Shareholders** | **3,651** | **3,613** | **+1.1%** | - Profit growth primarily stemmed from increased passenger and cargo revenue (**+HKD 4.430 billion**), offset by rising staff, fuel, and landing/parking costs[119](index=119&type=chunk) [Fuel Expenses and Hedging](index=28&type=section&id=%E7%87%83%E6%B2%B9%E9%96%8B%E6%94%AF%E5%8F%8A%E5%B0%8D%E6%B2%96) The Group's net fuel cost increased by 3.5% to HKD 14.654 billion in the first half, mainly due to a 19.0% increase in fuel consumption, partially offset by a 14.3% decrease in average aircraft fuel prices Group Fuel Cost Breakdown (Six Months Ended June 30) | Item | 2025 (HKD million) | 2024 (HKD million) | | :--- | :--- | :--- | | Total Fuel Cost | 14,436 | 14,221 | | Fuel Hedging Loss / (Profit) | 218 | (61) | | **Net Fuel Cost** | **14,654** | **14,160** | [Financial Position](index=28&type=section&id=%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81) As of June 30, 2025, the Group maintained a robust financial position with available unrestricted liquidity increasing to HKD 21.504 billion and net borrowings decreasing by 2.8% - Available unrestricted liquidity totaled **HKD 21.504 billion**, a **12.7%** increase from the end of 2024[121](index=121&type=chunk) - Net borrowings decreased by **2.8%** to **HKD 56.342 billion**[122](index=122&type=chunk) - Excluding leases without asset transfer elements, the net debt to equity ratio decreased from 0.90 times to **0.87 times**, indicating a healthy financial leverage level[122](index=122&type=chunk) [Review Report](index=29&type=section&id=%E5%AF%A9%E9%96%B1%E5%A0%B1%E5%91%8A) This section presents the conclusion of the independent review report on the Group's interim financial information [Review Report Conclusion](index=29&type=section&id=%E5%AF%A9%E9%96%B1%E5%A0%B1%E5%91%8A%E7%B5%90%E8%AB%96) KPMG, the auditor, conducted a review of the Group's interim financial report in accordance with Hong Kong Standard on Review Engagements 2410 and found no material matters suggesting non-compliance with HKAS 34 - KPMG, the auditor, issued an unqualified review conclusion on the interim financial report[125](index=125&type=chunk)[126](index=126&type=chunk) [Condensed Financial Statements](index=30&type=section&id=%E7%B0%A1%E6%98%8E%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8) This section provides the condensed consolidated income statement, statement of financial position, cash flow statement, and notes to the condensed financial statements [Consolidated Income Statement](index=30&type=section&id=%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E8%A1%A8) For the six months ended June 30, 2025, the Group reported total revenue of HKD 54.309 billion, operating profit of HKD 5.926 billion, and profit for the period attributable to ordinary equity holders of HKD 3.651 billion Consolidated Income Statement Summary (Six Months Ended June 30, 2025) | Metric | Amount (HKD million) | | :--- | :--- | | Total Revenue | 54,309 | | Operating Profit | 5,926 | | Profit Before Tax | 4,321 | | **Profit for the Period** | **3,651** | [Consolidated Statement of Financial Position](index=32&type=section&id=%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E7%8B%80%E6%B3%81%E8%A1%A8) As of June 30, 2025, the Group's total assets amounted to HKD 170.302 billion, with total liabilities of HKD 118.641 billion, resulting in net assets of HKD 51.661 billion Consolidated Statement of Financial Position Summary (as of June 30, 2025) | Metric | Amount (HKD million) | | :--- | :--- | | Net Non-Current Assets | 86,091 | | Net Current Liabilities | (34,430) | | **Net Assets** | **51,661** | | **Funds Attributable to Cathay Group Shareholders** | **51,654** | [Consolidated Cash Flow Statement](index=33&type=section&id=%E7%B6%9C%E5%90%88%E7%8F%BE%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) For the six months ended June 30, 2025, the Group generated net cash inflow from operating activities of HKD 11.153 billion, with net cash outflows from investing and financing activities Consolidated Cash Flow Statement Summary (Six Months Ended June 30, 2025) | Metric | Amount (HKD million) | | :--- | :--- | | Net Cash Inflow from Operating Activities | 11,153 | | Net Cash Outflow from Investing Activities | (4,267) | | Net Cash Outflow from Financing Activities | (9,130) | | **Net Decrease in Cash and Cash Equivalents** | **(2,244)** | [Notes to the Condensed Financial Statements](index=35&type=section&id=%E7%B0%A1%E6%98%8E%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) The notes provide detailed explanations of accounting policies, segment information, key income statement and balance sheet items, including capital commitments and contingent liabilities - Segment results show that Cathay Pacific recorded a pre-tax profit of **HKD 5.842 billion**, while HK Express recorded a loss of **HKD 524 million**[136](index=136&type=chunk) - The Board of Directors declared an interim dividend of **20 HK cents per share**, totaling **HKD 1.288 billion**[161](index=161&type=chunk) - At period-end, total approved and contracted capital commitments amounted to **HKD 97.545 billion**, with the vast majority (**HKD 96.58 billion**) for aircraft and related equipment[164](index=164&type=chunk) - Subsequent to the reporting period, the company exercised purchase rights to acquire an additional **14 Boeing 777-9 aircraft**[170](index=170&type=chunk) [Information Required by Listing Rules](index=48&type=section&id=%E6%8C%89%E4%B8%8A%E5%B8%82%E8%A6%8F%E5%89%87%E6%89%80%E9%9C%80%E6%8F%90%E4%BE%9B%E7%9A%84%E8%B3%87%E6%96%99) This section details the company's corporate governance practices, directors' interests, and major shareholders as required by the Listing Rules [Corporate Governance and Directors' Interests](index=48&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%8F%8A%E8%91%A3%E4%BA%8B%E6%AC%8A%E7%9B%8A) The company complied with all code provisions of the Corporate Governance Code during the reporting period, and no directors or chief executives held any share interests in the company or its associated corporations - The company complied with all code provisions contained in Part 2 of Appendix C1 to the Listing Rules, "Corporate Governance Code," during the reporting period[172](index=172&type=chunk) - As of June 30, 2025, none of the company's directors or chief executives held any share interests in the company or any of its associated corporations[177](index=177&type=chunk) [Major Shareholders](index=49&type=section&id=%E5%A4%A7%E8%82%A1%E6%9D%B1) As of June 30, 2025, the company's major shareholders included Swire Pacific Limited and Air China Limited, which are deemed to jointly hold 74.96% of the share interests due to a shareholder agreement, with Qatar Airways Group holding 9.99% Major Shareholder Holdings (as of June 30, 2025) | Shareholder | Holding Percentage (%) | | :--- | :--- | | Air China (Attributable Interest) | 74.96 | | Swire Pacific (Attributable Interest) | 74.96 | | Qatar Airways Group | 9.99 | [Disclaimer](index=50&type=section&id=%E5%85%8D%E8%B2%AC%E8%81%B2%E6%98%8E) This section provides a disclaimer regarding forward-looking statements contained within the report [Forward-Looking Statements](index=50&type=section&id=%E5%89%8D%E7%9E%BB%E6%80%A7%E9%99%B3%E8%BF%B0) This report contains forward-looking statements based on assumptions, estimates, and forecasts, which are subject to inherent risks and uncertainties, and actual results may differ materially due to various uncontrollable factors - The report contains forward-looking statements, and actual results may differ materially from expectations due to various risks and uncertainties[179](index=179&type=chunk)

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 Forgame Holdings Limited 雲 遊 控 股 有 限 公 司 ˄ᯬ䮻ᴬ㗔ጦ䁫ᡀ・ѻᴹ䲀ޜਨ˅ （股份代號：484） 截至二零二五年六月三十日止六個月的 中期業績公告 雲遊控股有限公司（「本公司」或「雲遊」）董事（「董事」）會（「董事會」）公佈本公司及其附屬 公司（統稱「本集團」或「我們」）截至二零二五年六月三十日止六個月的未經審核合併中期 業績（「中期業績」）。中期業績乃根據國際會計準則第34號「中期財務報告」編製並經由本 公司獨立核數師中匯安達會計師事務所有限公司按照國際審閱準則第2410號「由實體的獨 立核數師執行的中期財務資料審閱」進行審閱。此外，中期業績亦經由本公司審核及合 規委員會（「審核及合規委員會」）審閱。 管理層討論與分析 業務回顧 二零二五年上半年，全球經濟雖經歷結構性調整，但復甦進程顯著受阻。美國關稅政策 的不確定性、俄烏戰爭的持續、中國國內市場的競爭加劇，以及高 ...

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。 Sunshine Insurance Group Company Limited 承董事會命 陽光保險集團股份有限公司 聯席公司秘書 舒高勇 香港，2025年8月22日 陽 光 保 險 集 團 股 份 有 限 公 司 （ 於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司 ） （股份代號：6963） 截至2025年6月30日止六個月之 未經審計中期業績公告 陽光保險集團股份有限公司（「本公司」）董事會謹此宣佈本公司及其附屬公司截至2025年6 月30日止六個月之未經審計中期業績。本業績公告刊載本公司2025年中期報告全文，並 符合香港聯合交易所有限公司(「香港聯交所」）證券上市規則中有關中期業績初步公告附 載的資料之要求。 本業績公告的中英文版本可在本公司網站 (www.sinosig.com)和香港聯交所網站 (www.hkexnews.hk)查閱。本公司2025年中期報告亦將 ...

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。 TechStar Acquisition Corporation （於開曼群島註冊成立的有限公司） （股份代號：7855） （權證代號：4855） | | | 2025年 | 2024年 | | --- | --- | --- | --- | | | | （未經審核）（未經審核） | | | | 附註 | 千港元 | 千港元 | | 收益 | 4 | – | – | | 利息收入 | | 1 | 2 | | 行政開支 | | (47,774) | (48,880) | | 權證負債公平值變動 | | (11,762) | – | | 除所得稅開支前虧損 | 5 | (59,535) | (48,878) | | 所得稅開支 | 6 | – | – | | 期內虧損及全面虧損總額 | | (59,535) | (48,878) | | 每股虧損 | 8 | 港元 | 港元 | | －基本及攤薄 | | ( ...